TaxTMI 
TaxTMI 
2023 (4) TMI 715
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....s the issue involved in both the appeals is same, therefore, the same are taken for decision together by a common order. 2. Brief facts of the case are that the appellants are engaged in the business of transportation of tractors by driving the tractors from the factory of M/s Punjab Tractors Ltd to the premises of dealers. As per the agreement, the tractors were to be driven by the drivers appointed by the appellants; consideration was paid to the appellants on the basis of the rates fixed on per kilometer basis; the appellants were required to ensure that the tractors were delivered in proper and good condition. The department was of the opinion that the service rendered by the appellants was squarely covered by 'Manpower Supply....
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....of her argument, she relies on the following case-laws:- (1) Commissioner of Customs, CE & ST vs. Godavari Khore Cane Transport Company (P) Ltd - 2015 (3) TMI 483 - Bombay High Court (2) Nishkarsh Industrial Services vs. Commissioner of CE & ST, Vadodara-II - 2022 (9) TMI 901 - CESTAT Ahmedabad (3) Talala Taluka Sahakari Khand Udyog Mandali Limited & others vs. CCE & ST, Bhavnagar - 2022 (12) TMI 468 - CESTAT Ahmedabad (4) M. Arul Prakasam & others vs. CGST & CE, Chennai - 2021 (8) TMI 1063 - CESTAT Chennai (5) M/s Beta Enterprises vs. CGST & CE, Madurai - 2021 (11) TMI 897 - CESTAT Chennai (6) M/s Fire Controls vs. CCE & ST, Mysore - 2019 (8) TMI 1028 - CESTAT Bangal....
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....at the department has understood the same to be request for supply of the drivers and apparently the department did not consider the other terms of the contract such as • the rates mentioned are inclusive of all expenses i.e. diesel, driver wages, return bus/rail fares, incidental expenses etc. • responsibility to deliver the tractors at its destination in proper and good condition; • in case of any accident, it was the appellants' responsibility to arrange spot survey, lodge FIR and to send related documents to M/s Punjab Tractors Ltd; appellants to get tractors released from the Courts and handover the same to the dealers. • it shall be the appellants' responsibility to comply with all s....
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.... 04. ---------------------------------" 6.3 Clear meaning of the above is that even where the wages of the workers or the employees supplied by the agency are paid by the agency, the liability to pay the service tax would be under said agency and not on the clients. In other words, the Circular clarifies that mere payment of wages by the manpower recruitment or supply agency does not take away their status. However, as far as the facts of the present case are concerned, there are no reasons for applying the said circular; the terms of the contract are very clear and the appellants have rendered the job assigned by Punjab Tractors Ltd and did not at all supply any manpower. 6.4 We find that the Tribunal in the case of Ta....
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....y M/s. L & T in the premises of M/s. L & T. They do not have any contract for supply of any number of persons. In fact, M/s. L & T is not concerned as to how many people they employ. The appellants get paid if they pack the meters as per the specifications on per piece basis. We do not find anything in the scope of the contract which can remotely suggest that it is a contract for supply of manpower to M/s. L & T. We also find force in the argument of the learned counsel for the appellant that packing is a process incidental or ancillary to the manufacture and therefore should be considered as part of manufacture as per Section 2(f) of the Central Excise Act. Packing of goods per se may not be manufacture in itself but when it is done along ....