2015 (11) TMI 1663

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.... order-in-original dated 18.05.2009 were heard together and are disposed by this common order. The parties are hereafter referred to revenue and assessee for convenience. 2. The assessee, M/s DLF Golf Resorts Limited, is holder of service tax registration for providing services of Mandap Keeper, Health Club & Fitness Centre, BAS, Membership of Clubs, Maintenance or Repair Services, Manpower Recruitment services, Renting of Immovable Property and sponsorship services. On scrutiny of records, it was observed by the department that during the period 16.06.2005 to 31.03.2005 though assessee was collecting charges from members of the club for various services like Green Fees, Academy Revenue, Lessons Fees, Package Horse Riding, Night charges,....

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....e of hearing the ld. Counsel for assessee, Sh. B. L. Narasimhan submitted that the issue whether the services of a club or association to its members is taxable is now settled by judgments of various High Courts and the Tribunal. In Ranchi Club Ltd. vs. CCE, 2012 (26) STR 401 (Jhar.) the Honble High Court observed as under: 18. However, learned counsel for the petitioner submits that sale and service are different. It is true that sale and service are two different and distinct transaction. The sale entails transfer of property whereas in service, there is no transfer of property. However, the basic feature common in both transaction requires existence of the two parties; in the matter of sale, the seller and buyer, and in the m....

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....nd on the basis of the precedential guidance adverted to, we conclude that in view of the decision in Ranchi Club Limited (supra), on application of the principle of mutuality, services provided by the appellants to their respective members would not fall within the ambit of the taxable club or association service nor the consideration whether by way of subscription/fee or otherwise received therefor be exigible to service tax. In view of the decision of the Gujarat High Court in Sports Club of Gujarat Limited, as the relevant provisions (namely Section 65(25a), Section 65(105)(zzze) and Section 66 of the Act), to the extent these provisions purport to levy service tax in respect of services provided by a club or association to its members ....