2017 (9) TMI 359

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...., business support services etc. The appellant is basically engaged in providing Cellular telecommunication service to various subscribers in India. The dispute in the present case relates to the liability of the appellant to pay Service Tax on reverse charge basis under the category of "business auxiliary service". This is in respect of considerations paid to the foreign telecom service provider who provides telecom service to the subscriber of the appellant during their visit outside India. The subscriber of the appellant during the visit outside India continues to avail telecom services through the roaming partner of the appellant, in different countries. The appellants charges the subscriber telecommunication charges, which include roam....

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....mitted that the services provided by foreign mobile operator in terms of understanding with the appellant for roaming subscriber, is typically a telecom service as per the statutory definition of Section 65 (109a) read with Section 65 (105) (zzzx) of the Finance Act, 1994. When the services are specifically covered by the tax entry for telecommunication services, still the tax liability could not be fastened on the provider (foreign roaming company) for the reason that the said service provider is not a Telegraph Authority as defined under Section 65 (111) of the Finance Act, which refers to clause (6) of Section 3 of Indian Telegraph Act, 1885. In other words, though, the services rendered are squarely covered under the telecommunication s....

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....3) STR 641 (Tri. Mum.) and Infosys Ltd. v. CST, Bangalore - 2015 (37) STR 862 (Tri.- Bang.) to support his submission that these services cannot be taxed under telecom service because the provider is outside the ambit of statutory definition. 6. The ld. A.R. reiterated the findings of the Original Authority. He submitted that the telecom services provided by the authorized service provider in India are rightly taxed under the said tax entry. However, when somebody provides similar service on behalf of the appellant, the aspect of service changes its colour and can be rightly brought under BAS, which specifically covers service provided on behalf of the another person and also customer care service. Admittedly, the telecom subscriber is t....