2019 (2) TMI 491

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.....K. Majhi, DR for the respondent ORDER PER ANIL CHOUDHARY: The issue involved in this appeal is whether the appellant is liable to pay service tax under the category of "SOTG" on their activity of leasing of machinery. 2. The admitted facts are that under the agreement dated 1.11.2010, the appellant company gave on lease certain machineries for a period of 18 years to the lessee - M/s.Scraf....

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....ing and packing. The terms of lease was for the period of 15 years at a monthly rent of Rs. 1 lakh. The agreement further provides that the lessee shall utilise the machinery as per normal industry standards and shall be responsible for normal maintenance and repair of the machinery. Further, the appellant company had given an advance of Rs. 261.78 lakhs to the lessee, which was returnable to them....

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....that the appellant has delivered the effective possession and control of the machinery on the said machinery, which have been delivered to the lessee and admittedly, the said machinery was installed in the promises of the lessee at Sonepat, Haryana. The workers of lessee are entitled to operate such machinery and the lessee is required to take care of the said machinery. Further, we find that purs....