2018 (5) TMI 1463

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.... also stated in the application that the issue involved in the present appeals has already been disposed of by the Division Bench of this Tribunal vide Final Order Nos. 21028-21029/2015 dated 19.02.2015 and vide Final Order No. 22110-22113/2014 dated 25.11.2014. In view of the reasons stated in the applications, we allow the applications. Since the issue involved in all these appeals is common and in a narrow compass, therefore we proceed to decide the Revenue's appeals on merit though none has appeared on behalf of the respondent. 2. The Revenue has filed these eight appeals against the common order dated 11.03.2014 passed by the Commissioner (Appeals) whereby the Commissioner (Appeals) has allowed the appeal of the assessee and set....

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....form for the investing customers either directly or indirectly through business associates while M/s. Geojit Comtrade Ltd, offers the same option   in relation to future trading on a recognized commodity exchange with which it is registered as a member. In the case of investors who are not directly registered on the trading platform offered by the principals, business associates such as the appellants who are located at different places, offer the facility of placing buy or sell orders which are executed on the platform installed at the premises of the business associate. They are, therefore, in the nature of branches of the broker or member. The business associates claim to be sub-brokers who were exempt from service tax liabilit....

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....y the Department and has also considered the precedent decision on the same issue. It is relevant to reproduce the said findings of the Commissioner which is contained in para 8 to 11.  "8. I have gone through the records of the case and submissions made in the appeal memorandum and at the time of personal hearing. The notice relates to the considerations received by the appellants during the periods mentioned above from M/s. Geojit Financial Services and M/s. Geojit Comtrade Ltd. respectively. Without the presence of these "business associates", M/s. Geojit Financial Services and M/s. Geojit Comtrade Ltd. would have been enabled to increase their transactions only by establishing their own offices at these locations near potential ....

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.... of the Hon'ble Tribunal in re Vijay Sharma & Company [2007-TMI-1628-CESTAT, New Delhi], Unique Investment Centre [2007-TMI-2443-CESTAT, New Delhi] and Shakti Securities [2008-TMI-4574-CESTAT, Bangalore] are unambiguously clear about the non-taxability of the brokerage in the hands of the sub-broker. The exemption contained in Notification 31/2009-ST dated 01.09.2009 of tax on services rendered.  10. by sub-brokers in relation to sale and purchase of securities was intended to clarify that tax liability of sub-brokers will not arise in any category of taxable services. Also, in view of Notification No. 03/2014-ST dated 3.2.2014 of GOI exempting payment of service tax from 10.09.2004 to 30.06.2012 in respect of services provided ....