2008 (9) TMI 83

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....Veeraiyan, Member (Technical) (Final Order Nos. 257-260/2008-ST dt. 4.9.2008 certified on 29.9.2008 in Appeal Nos. ST/124, 125, 439 & 440/2007) Shri Atul Gupta. C.S. for Appellant. Shri A.K. Madan DR for Respondent. [Order per M. Veeraiyan, Member (Technical)] - Appeal ST Nos 124-125/ 2007 are against the order of the Commissioner (Appeals) bearing No.105-106/GR/ST/JPR.I/06 dated 28.11....

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....of excise duty and sales-tax. (c) Notices were issued demanding service tax on the value of free services provided by the appellant to the customers during the warrants period. It was alleged that the appellant has already received the warranty labour charges by including the same in the margin for the dealers from M/s Hyundai Motors at the time of purchase of the vehicle and therefore, service....

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....ing free services and no service charges are being received from the recipients of service; it is wrongly presumed that they are being reimbursed by M/s Hyundai Motors for the services rendered free to the customers; free services are being rendered out of margins provided to them; cost of free services also get included in the assessable value for the purpose of paying excise duty and sales tax. ....

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....y considered the submissions. The 'free services' said to have been rendered by the appellant to the purchaser of the vehicle is not really free. The value of such services are already included in the price of the vehicle paid by the customers. The value has also been included for the purpose of paying excise duty and sales tax. It is also admitted that when the services are rendered by the appell....