TaxTMI 
TaxTMI 
2008 (8) TMI 26
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....aged only in Scientific and Technical consultancy for which they took regionwise service tax registration. In Punjab they took the Service tax registration for Scientific and technical consultancy on 12/09/01. A show cause notice dated 18/03/04 was issued to the Appellant alleging that during period from October 1998 to July 2001, they provided Management Consultancy service to their clients for which they received a total amount of Rs. 82,89,442/- and demanding service tax amounting to Rs. 4,14,472/- under 'Management Consultancy' on this amount, alongwith interest and also proposing imposition of penalty on them. The jurisdictional Deputy Commissioner, vide order-in-original dated 11/10/01 dropped the proceedings against the Appel....
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....s, NPC was registered under Scientific and Technical Consultancy, not in 'Management Consultancy' category. All regional offices of NPC in different states are registered under 'Scientific & Technical Consultancy' and are paying service tax on that basis. (iii) The services being provided by the Appellant relate to improvement of process technology, economical use of power and fuel utilizing scientific principles of energy conservation and application of technical knowledge in improving and standardizing process and product quality (ISO-9000 certification). All services provided by the Appellant during August 1998 to July 2001 period, which are the subject matter of dispute, are, in general, technical in nature. 2.2 Sh....
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....on providing any service, either directly or indirectly, in connection with management and includes any person who renders any advice, consultancy or technical assistance relating to conceptualizing, devising, development, modification, rectification or upgradation of any working system of any organization. 3.3 During August 1998 - July 2001 period, the Appellant conducted various studies and organized seminars for their clients in the areas like prioritisation of land user for higher productivity, prioritisation of cooperative plans, system study and improvement proposals, design and development of quality management system etc. as listed in Annexure A & B to the show cause notice. According to Revenue, these activities are covere....
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.... organization and hence the same pertain to the discipline of Industrial Engineering. We are supported in our view from the exposition of the term 'Industrial Engineering' in World Book Encyclopedia (Vol.6), which is reproduced below, - "Industrial Engineering applies to engineering analysis and techniques to the production of goods and services. Industrial engineers determine the most economical and effective ways for an organization to use people, machines and material. Industrial Engineers also develop training and job evaluation programmes, and work performance standards and help determine wages and employee benefits. They work to solve problems such as high costs, low productivity and poor product quality. Mathematical mo....