TaxTMI 
TaxTMI 
TaxTMI 
2021 (9) TMI 751
X X X X Extracts X X X X
X X X X Extracts X X X X
....rized to use the trade mark in connection with preparation, packing, distribution and sale of beverages/aerated waters/mineral water in throughout a specified territory. The appellant purchases the concentrates, required for manufacture of final products, from Coca Cola Pvt.Ltd., authorized by TCCC for this purpose. As per the Bottlers Agreement, the appellant is required to take steps for advertising, marketing and promoting the sale of the beverages/mineral water by creating its own funds, and TCCC agreed to contribute financially in the marketing program. The appellant regularly places purchase orders on CCIPL for purchase of concentrate of mineral water and non-alcoholic beverages. The appellant received incidence claim and other claims....
X X X X Extracts X X X X
X X X X Extracts X X X X
...."4.2 We find that the issue involved in the present appeal is squarely covered by the decisions of the Tribunal in case of Superior Drinks Pvt Ltd [2019 (6) TMI 272 -CESTAT Mumbai]. This decision in turn follows the decisions rendered by the Delhi Bench in case of Narmada Drinks (P) Ltd reported at 2017 (5) GSTL 369 (T-Del)] and also in case of Narmada Drinks (P) Ltd reported at [2018 (6) TMI 899 (TDel)]. Similar view has been expressed by the Allahabad Bench in case of Brindavan Bottlers Ltd [2019 (27) GSTL 354 (T-All)] and Mumbai Bench in case of SMV Beverages Pvt Ltd [2018 (17) ELT GSTL 284 (T-Mum)]. 4.3 Learned Authorized Representative does not dispute that the issue is squarely covered by the above decisions but questions the decisi....
X X X X Extracts X X X X
X X X X Extracts X X X X
....dent if we refer to the definition of sale and purchase as per Section 2(h) of the Central Excise Act, 1944 as it existed then. The said definition has been made applicable to Chapter V of Finance Act, 1994 as per Section 65 (121) ibid. The relevant provisions are reproduced below: Section 2(h) of Central Excise Act, 1944 "sale" and "purchase", with their grammatical variations and cognate expressions, mean any transfer of the possession of goods by one person to another in the ordinary course of trade or business for cash or deferred payment or other valuable consideration; Section 65 (121) of Finance Act, 1994: words and expressions used but not defined in this Chapter and defined in the Central Excise Act, 1944 (1 of 1944) or the r....
X X X X Extracts X X X X
X X X X Extracts X X X X
....orized Representative that this transaction was not a truncation of sale but only "transfer to use". 4.5 Thus the arguments advanced by the Authorized Representative in respect of non applicability of the decision of CESTAT in case of SMV Beverages, too need to be rejected. 4.6 In any case if the arguments advanced by the Authorized Representative, were to be accepted then in every case, sale promotion activities undertaken by the manufacturer of finished product, shall amount to sale promotion of the raw material, and the service so rendered to the raw material supplier will be taxable as Business Auxiliary Service in this category. This is neither the intention nor the rationale of the scheme of taxable category defined as "Business A....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e like availed by them and utilize such credit towards payment of excise duty on the concentrate. As now judicially recognized, Service tax is VAT which in turn is destination based consumption tax in a sense that it is on commercial activities and is not a charge on the business but on the consumer. Just as excise duty is a tax on value addition on goods. Service tax is on the value addition by rendition of service. See All India Federation of Tax Practitioners v. Union of India - 2007 (7) S.T.R. 625 (S.C.) = (2007) 7 SCC 527. 3. Credit has been denied on the ground that the advertisements do not relate to concentrates manufactured by the Appellants. It is not disputed that the advertisement expenses incurred by the Appellant form part o....