TaxTMI 
TaxTMI 
2017 (9) TMI 420
X X X X Extracts X X X X
X X X X Extracts X X X X
....ist association and was charging some amount from the manufacturers to circulate the product information among its members. The Department is of the view that the activity carried out by the appellant is under "Business Auxiliary Service" and is subject to service tax. Being aggrieved, the appellant have filed the present appeals. 3. With this background, we heard Sh. Alok Kothari, ld. C.A. for the appellant. He submits that before issuing the show cause notice an amount of Rs. 15,21,570/- was deposited as service tax under "Business Auxiliary Service". Further, he has not pressed the amount of Rs. 11,585/- pertaining to the Club and Association Service. However, he emphasised that the amount of Rs. 15,21,570/- which was deposited as "Busi....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ese details in the monthly news, the sale of the products was promoted by the association and therefore it has to be considered as business auxiliary service. On the other hand ld. Counsel submitted that the marketing and promotion of sale of pharmaceutical products is undertaken by the publication of pamphlets, brochures, advertisement in the print media and by contact with doctors through medical representatives of the manufacturers. The purpose of publication of these details in the monthly news is only to show what is the price the company charges to the stockist and what the stockist charges to the retailer and ultimate MRP. It was submitted that these details are of use only to the chemists and druggists. They would know what is the m....
X X X X Extracts X X X X
X X X X Extracts X X X X
....t be of use even to the chemist who is required to dispense medicines in the shop. As submitted, the medicines are marketed and promoted through medical representatives and other means. Therefore we are not able to agree with the view that the service provided by the appellants amounts to business auxiliary service. 6. The second submission in support of the claim that the service is not a business auxiliary service is that there is a separate service which was introduced w.e.f. 1.6.2007. Taxable service provided by any person to any other person in relation to sale of space or time for advertisement is covered under this category of service and leviable to service tax but the definition specifically excludes sale of space for advertiseme....
X X X X Extracts X X X X
X X X X Extracts X X X X
....7, would show that it would not be covered by business auxiliary service, prior to that date. He relies on the decision of the Tribunal in the case of BCCI reported in - 2007 (7) STR 384 (Tri. Mum) to submit that imposition of tax on a particular activity from a specified date would mean that the impugned activity is not taxable prior to specified date under existing entries and heads. He submits that the activity undertaken by them is nothing but sale of space in monthly news to the manufacturers and therefore it could not be levied to service tax prior to 1.6.2007. We find considerable force in these arguments advanced by the ld. Counsel. It is quite clear that the activity undertaken by the appellant is nothing but sale of space, in view....