2023 (9) TMI 1376

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....relating services to both domestic as well as international travellers. The appellant is also functioning as General Sales Agent (GSA) for Foreign Airlines, namely, HANNAIR, S.N. Brussels and Iceland Air and paying service tax in respect of booking made by the appellant as International Air Transport Association Agent (IATA). The Department entertained a view that the GSA Commission received from the said airlines is liable to service tax under the category of 'Business Auxiliary Services' as the appellant is promoting and marketing the services provided by the Foreign/International Airlines. On these allegations, the show cause notice dated 15.03.2010 was issued and after following due process, the original authority vide its order dated 2....

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....ppeal No. 188/2010-CU(DB) against the Order of Commissioner with a prayer that the extended period of limitation as per section 73(1) of Finance Act, 1994 maybe invoked and penalty under Section 78 of the Act may be imposed but the Tribunal dismissed the Department's Appeal vide Final Order No. 52656-52659/2016 dated 28.06.2016. • He further submitted that even if it is accepted that the appellant provided Business Auxiliary Service, the service tax is not payable as the beneficiaries of the services provided by the appellant were Foreign Airlines who do not have offices in India and the payment of the GSA commission was received in foreign exchange. Hence, the services rendered by the appellant would amount to export of se....

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....filed appeal against the Tribunal's Final Order No. 52656-52659 of 2016 dated- 28-07-2016 before the Hon'ble Supreme Court and the Hon'ble Supreme Court dismissed the appeal as not pressed for. • Ld. Consultant further prayed that the present appeal should also be disposed of by relying earlier Final Order dated 28.07.2016 disposing three appeals of the appellant passed by the Principal Bench, CESTAT Delhi. 3. On the other hand, the Ld. DR reiterated the findings in the impugned order. 4. After considering the submissions of both the parties and perusal of the records, I find that the appellant filed above stated four appeals before the Tribunal but the Tribunal vide its Final Order dated 28.07.2016 disposed of three appe....

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.... there is no ambiguity that legislature in terms of Export of Services Rules, 2005 intended that services consumed outside India shall be exported. It was further held that service that is sought to be taxed is the service provided to the person paying for the service and not the service which is provided to a person in India who is not paying for the service thought he may be beneficiary of such arrangement. Here, in the present case the admitted facts are that the business of foreign airlines are promoted by BTPL. If such airlines do not have any office/establishment in India and consideration is paid in convertible foreign currency, we find BTPL are not liable to service tax under BAS as services are covered by export. Reference can also....