TaxTMI 
TaxTMI 
2019 (5) TMI 1351
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....ioner (Appeals), who upheld the order of the sanctioning refund claim. Against the said order, the Revenue is in appeal before us. 3. Ld.AR for the Revenue submits that OBSISPL renders the services to other Orange Group companies on the direction of ENSIL. Also, during the personal hearing, the respondent on being asked to submit a sample agreement, submitted master service agreement between Orange Business Netherlands B.V. and its customers. From the agreement, it is evident that role of OBSISPL is to provide outsourced services for Orange Group Entities and has no privy of contact with any customer of orange group entities. It was also submitted that the Orange Group has shared service centers at 4 locations- India, Mauritius, Brazil and Egypt which cater to Orange group entities globally for back office support, these are referred to as 'Global Customer Service Centre (GCSC). In India, respondent is GCSC providing back office support services. The internal arrangement among Orange Group is such that the administration is done trough ENSIL whereby the GCSC execute a contract with ENSIL for provision of services. The consideration of such services is also paid by ENSIL. 4. F....
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....usiness Netherland B.V. (located in Netherlands) and its customer. The same is attached herewith as Annexure A. In order to provide better understanding, we are hereby providing the facts of the agreement in a point wise manner: 1. Orange Business Netherland B.V. has executed on MSA with Customer for provision of managed network services which entails provision of secure IP networking enabling connectivity between Customer's routes using IP switching. The services are provided for all locations of customer across the globe. 2. To provide the above services, Orange Business Netherland B.V. is required to undertake the following steps: a. Procurement of networking equipment for customer across the globe which are covered under the scope of the contract. The equipment is sourced from third parties and remains under ownership of Orange Business Netherland B.V. b. Installation/configuration of equipment of the above sites shall also include software installation. c. Provide/arrange for telcom services to enable networking. The same may be provided by Orange entity on their own (dependent on the territory where Orange is a telcom service provi....
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.... to as Global Customer Service Centre ('GCSC'). In India, the GCSC is OBSISPL which provides Remote IT enabled network management, fault management and other related back office support services. In respect of such services, we here by submit the following: The troubleshooting services are provided remotely from the location of GCSC, which on first level are addressed telephonically. Thereafter, if the issue is not resolved, the GCSC team detects the outages in the network line by sending commands electronically on such network. It is also relevant to mention here that at no point of time, OBSISPL has remote access to the equipment of the customers where it can access such equipment from its own location to resolve or repair the fault in the equipment. OBSISPL team only has aces to its internal networks. Further, the commands (as referred to above) are sent by OBSISPL to its network to detect whether there is any connectivity in the networking line or there is an error in the signal. Pursuant to the checking of network line through sending signals), the issue is diagnosed and communication is sent by GCSC team to the Orange entity catering to client. Such....
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....ains must be passed back to the principal. Separation of value: The value of an intermediary's service is invariably identifiable from the main supply of service that he is arranging. It can be based on an agreed percentage of the sale or purchase price. Generally, the amount charged by an agent from his principal is referred to as "commission". Identity and title: The service provided by the intermediary on behalf of the principal is clearly identifiable." 10. From the above Guidance Note of CBEC dt.20.6.2012 and definition of intermediary, the following conclusion has drawn:- (a) An intermediary arranges or facilities a provision of a 'main service' between two more persons; (b) An intermediary is involved with two supplies at any one time (i) the supply between the principal and the third party; and (ii) the supply of his own service (agency service) to his principal, for which a fee or commission is usually charged; (c) An intermediary cannot influence the nature or value of service, the supply of which he facilitates on behalf of his principal, although the principal may authorize to negotiate a different price; (d) The ....