TaxTMI 
TaxTMI 
2022 (11) TMI 152
X X X X Extracts X X X X
X X X X Extracts X X X X
....t purpose the BCCI are transferring/ paying various type of amounts under the cover of subsidies / subvention from the amount of profit which was earned by the by way of conducting matches. It is the contention of the department that the respondent were treated as Sponsor/organizer because they are not organizing the event themselves, but for the same, BCCI has appointed/ authorized the respondent to conduct and manage such events. Moreover, it further appears that the respondent is managing all the requirements namely Security, Rent-a-Cab, Photography, Pandal & Shamiana, Caterer, etc which are suppose to be managed by an "Event Manager". The adjudicating authority after considering the submission of the respondent dropped the demand, proposed in the show cause notice against the respondent vide Order-In-Original which is impugned herein. Being aggrieved by the said Order-In-original, revenue filed the present appeal. 2. Shri. Ghanasyam Soni, learned Joint Commissioner (Authorized Representative) appearing on behalf of the revenue reiterates the finding of the impugned order. 3. On the other hand, Shri. S S Gupta, Learned Charted Accountant appearing on behalf of the responde....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ibuted among the affiliates and the formula for distribution is approved by the AGM. This amount has nothing to do with the organizing of any particular match by the affiliates and even associations who do not stage any match also receive subsidy from BCCI. (ii) Tournament receipts, reimbursement of players' expenses and payment of subsidy are made when their team participates in any tournament. This amount is paid to meet the expenses of travel, lodging, daily allowance payable to the members of the team. (iii) IPL subsidy is distributed to all affiliates out of the income generated from IPL events. Even when no IPL event is held, the affiliate gets the subsidy. For example in 2009 when IPL events were held in South Africa, each affiliate got a subsidy of Rs.8,10,43,200/-. 5.5.2. The object of grant of subsidy as evident from BCCI's resolution is - a) to promote the game of cricket in India; b) to arrange, organize, control and finance the visits of Indian Cricket team to other countries and visits of Cricket Teams of other countries to India; c) to build, construct, maintain and repair various stadia and other amenitie....
X X X X Extracts X X X X
X X X X Extracts X X X X
....rganizations such as BCCI/CAB which are interested in promoting the sport or sports are under an obligation to organize the sports events and can legitimately be accused of failing in their to do so. The promotion of sports also includes its popularization through all legitimate means. For this purpose, they are duty bound to select the best means and methods to reach the maximum number of listeners and viewers. Since at present, radio or TV are the most efficacious methods, thanks to technological development, the sports organizations like BCCI/CAB will be neglecting their duty in not exploring the said media and in not employing the best means available to them to popularize the game. That while pursuing their objective of popularizing the sports by selecting the best available means of doing so, they incidentally earn some revenue, will not convert either them into commercial organizations or the right claimed by them to explore the said means, into a commercial right or interest. It must be further remembered that sporting organizations such as BCCI/CAB in the present case, have not been established only to organize sport events or to broadcast or telecast them. The organizatio....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ion to the provisions of the Income Tax Act which is not pari materia with service tax laws. As regards the reliance on the decision in the case of Secretary, Ministry of Information and Broadcasting, we have already granted the benefit of this decision in the case of BSS service. As regards the reference to Tribunal's decision in the case of Institute of Banking and Personnel Selection, the said case relates to manpower recruitment agency services which is not an issue before us. As regards the decision of the Delhi High court in the case of renting of immovable property, the said decision was rendered in the case of Home Solutions, the first judgment was rendered in 2009 whereas the demand pertains to the period from 2007 onwards. Therefore, it cannot be said the appellant could have entertained a bona fide belief in 2007 on the basis of a judgment rendered in 2009. In the case of Mandap Keeper Services and Sale of Space or time for Advertisements, the appellant has not cited any decision/judgment in their favour for entertaining any reasonable belief. Therefore, such belief cannot be automatically presumed. 5.7 Similarly in the case of Club & Association service, th....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... exercise by any Court. If it is not open to the superior court to either add or substitute words in a statute such right cannot be available to a statutory Tribunal. 17. The proviso cannot be read to mean that because there is knowledge the suppression which stands established disappears. Similarly the concept of reasonable period of limitation which is sought to be read into the provision by some of the orders of the Tribunal also cannot be permitted in law when the statute itself has provided for a fixed period of limitation. It is equally well settled that it is not open to the Court while reading a provision to either rewrite the period of limitation or curtail the prescribed period of limitation" A similar view had been taken by this Tribunal in the case of Usha Rectifier Corporation (I) Ltd. [2001 (130) ELT 485] affirmed by the Apex Court in [2011 (263) ELT 665 (SC)]. In the light of these decisions, we are of the considered view that larger period of limitation has been correctly invoked in the present case and the demands are not time barred. 5.8 As regards the demand for interest, once the service tax demands are upheld, interest liability....