TaxTMI 
TaxTMI 
2017 (6) TMI 1025
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....ephone service providers, infrastructure and space and was charging infrastructure charges, port charges, rent for space etc. Revenue was of the view that the appellant was liable to pay Service Tax on these charges with effect from 1.5.06 under the category of a new service "Business Support Service under section 65(104c). Accordingly, Show cause notice proceedings got initiated for demand of Service tax amounting to Rs. 11,00,076/- for the period February, 2007 to May, 2007 under the category of Business Support service. The original authority confirmed the demand of such Service tax which was also upheld by the Commissioner (Appeals). Aggrieved by the decision, the present appeal has been filed. 2. With the above background, we have hea....
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....ought under the service tax net by under Finance Act, Bill 2007 and was not levied to service tax during the disputed period. Learned Counsel further argued that such IUC charges are not covered by the definition of Business Support Services in which Revenue has sought to levy the service tax. 5. Learned DR on the other hand, supported the impugned order. He submitted that the amounts recovered by the appellant were for providing services under the head "space and infrastructure" and these activities will be covered under the Explanation in the definition of Business Support Services, in which the expression "infrastructural support service" has been explained. He further argued that the CBEC circular has only clarified that IUC are not c....
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....rvice tax levy as far as telephone service is concerned. 8. The department has sought to levy the service tax on such IUC in the category of Business Support Services. This category of service has been included in the statutory books from 1.5.2006. The definition of Business Support Service under section 65 (105 c) of the Finance Act, 1994 is reproduced below: "Support service of business or commerce means service provided in relation to business or commerce and includes evaluation of prospective customer's telemarketing, processing of purchase orders and fulfillment services, information and tracking of delivery schedules, managing distribution and logistics, customer relationship management services, accounting and processing of transac....