TaxTMI 
TaxTMI 
2016 (5) TMI 307
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....under the category of Business Auxiliary Services as defined under the provisions of Section 65(19) of the Finance Act, 1994. The appellant herein is engaged in the business of promoting, marketing, canvassing, procuring orders from various customers in India viz. Gujarat, Maharashtra, Madhya Pradesh and Goa for the medical equipments manufactured by M/s Viasys International Corporation; and also carries out after sales services like installation and commissioning, customer care services, warranty services during the warranty period, to the customers located in India in relation to the products of Viasys. It is the case of the Revenue that the appellant, on commission received from overseas company, is liable to pay Service Tax under Revers....
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....ndered by the appellant on the goods which was manufactured by overseas manufacturer. It would mean the services rendered by the appellant is to an overseas manufacturer on whom Service Tax liability does not arise. The service rendered to such a person situated based at overseas no Service Tax liability arises on him but under reverse charge mechanism appellant is made liable to pay, however in this services are consumed by a person not in India, no Service Tax liabilities arises on appellant is the law settled which is supported by judgement of Hon'ble Bombay High Court in the case of SGS India Pvt. Ltd. (supra), we reproduce the relevant paragraphs:- "21. The definition of the term taxable service is inclusive. It also inclu....
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....s are not allowed. Mr. Sridharan has placed reliance on clause (4) of the circular dated 25th April, 2003. That is where it has been clarified that the question of taxability of secondary services which are used by primary service provider for the export of services. Thas been clarified in paragraph No. 4 of its circular. It is in these circumstances that we are of the opinion that the Tribunal has not erred in law in holding that the services provided by the respondent were not taxable. This aspect once becomes more clear if one peruses the Notification No. 21/2003-S.T., dated 20th November, 2003. 23. We are of the opinion that the services rendered in the present case are fully covered by the clarification given and even by the p....
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.... found that the assessee like the respondent rendered services, but they were consumed abroad. The clients of the respondents used the services of the respondent in inspection/test analysis of the goods which the clients located abroad intended to import from India. In other words, the clients abroad were desirous of confirming the fact as to whether the goods imported complied with requisite specifications and standards. Thus, client of the respondent located abroad engaged the services of the respondent for inspection and testing the goods. The goods were tested by the respondents in India. The goods were available or their samples were drawn for such testing and analysis in India. However, the report of such tests and analysis was sent a....