TaxTMI 
TaxTMI 
2025 (6) TMI 1432
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....ding Rs. 64,85,298/- on the same ground. 2. The appellant submitted that they are a Board constituted by the Jharkhand Government and they are basically carrying out sovereign function and hence they are not required to pay any Service Tax. They also claimed exemption under various clauses. They further submitted that they have not providing the services to any of the lessees. The Agricultural Produce Marketing Committees (APMC) which were located at various places within Jharkhand, were providing such services. In view of these submissions, they prayed that the demand may be dropped. However, the Adjudicating Authority in the impugned order has confirmed the demands along with interest. He also imposed penalty under Section 78 of the Finance Act, 1994. Being aggrieved, the appellant is before the Tribunal. 3. The Learned Chartered Accountant appearing on behalf of the appellant makes the following submissions:- 3.1 The premises are let out by APMC. There are totally 28 APMCs working under the JSAMB. These are independent entities. They are responsible for their income and expenditure. For taking care of their expenditure needs, they let out the premises on rent and the sa....
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..... of Central Excise & Service Tax, Alwar-2022 (58) G.S.T.L. 129 (S.C.). In this judgment, the Hon'ble Supreme Court has held that only in respect of the sovereign function undertaken and the consideration received towards the same would be exempted from payment of Service Tax. It has been clearly held that in case of rental income received by Krishi Upaj Mandi Samiti, the same would be liable for Service Tax. Accordingly, he justifies the confirmed demand. 6. Heard both sides and perused the appeal papers. 7. We find that the JSMAD is a Board established in March 2001 under Section 33A of the Jharkhand Agriculture Produce Market Act, 2000. On the other hand, the APMC is established in terms of Section 6 of this Act. The relevant portion of rental agreement of APMC Deoghar and APMC Daltonganj is reproduced as under : - 8. From the above rental agreement, it is seen that the lessor is APMC and as per the terms and condition given therein, the amount of rent is required to be paid by the lessee to APMC only. Thus, the service provider in this case would be by APMC. 9. The Affidavit given by the secretary JSAMB is reproduc....
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....aw. ( Pronounced in the open court on 17/06/2025 ) ============= Document 1 Rent Agreement between APMC and tenant for the year 2008-09 to 2012-13 OF AGRICULTURAL PRODUCE MARKET COMMITEE DEOGHAR Document 2 TEN दस RUPEES Rs.10 रà¥à¤ªà¤¯ 16.10 INDIA INDIA NON JUDICIAL 0TAA 875230 ITGYE JHARKHAND AGRICULTURAL PRODUCE MARKET COMMITTEE, DEOGHAR DEED OF LEASE FOR SHOP-CUM-GODOWN No. H/01 An Agreement made the ts September,2008 between the Secretary, Agricultural Produce Market Committee, Deoghar here in after called the Market committee ,Deoghar, District Deoghar of one part and Sri Ramdhari Jha S/0 Late Gajadhar Jha, Prop. Of M/S Jha Chura Mill, L.No. 94, Shahid Ashram Road, Jhousagarhi, P.S .- Kunda, Distt .- Deoghar, hereinafter called the lessee/ licensce which unless repugnant the context shall include his successof and assigns of the other part. Whereas the lessee/licensee has applied for lease /licence to erect/use a building for business of Agricultural Produce "Foodgrain" upon the land belonging to the State Government and lease put to the Market Committee described in the said purpose has been gra....
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....ilding not will he make any alteration or allition in the demised premises/ Godown / Shop/ Building except with the approval of the Lessor in writing. 5 That he will during the term of lease hereby created keep the demised premises/ Godown / Shop/ Building in good repair and and condition 6. That he will not without consent in writing of the lessor use or permit the use of the demised premises/Godown/Shop/Building for any prupose other than that for which it is let namely to carry on his Trade and Business of Agricultural Produce as defined under the Jharkhand State Agricultural Produce Market Act. 7. That he will at the expiration of the said term or sooner determination there of peacefully and quietly surrender to the Lessor the demised premises/ Godown/ Shop/ Building. 8. That he will not assign or sublet or otherwise part with the premises/Godown/Shop/Building without the permission in writing of the lessor अà¤à¤¿à¤ªà¥à¤°à¤®à¤¾à¤£à¤¿à¤¤ 5\25 contd ..... Ariculture Produce warel Committe Opongan Document 5 (2) The Lessor hereby covenants with the lessee as follows :- (1) That the lessce paying Rent/ Charges....
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.... for three months after due date the lessor may re-enter on the demised premises/Godown/Shop/Building determining the lease. (5) In case of determination of the lease by the lessor the lessee in case of failure to vacate the premises/Godown/Shop/Building shall be liable to pay penal charges at the rate of Rs. 30/- (Thirty) per day. (6) That the lease hereby created shall be determinable at the option of the ar TERITETerry lessee or either party by giving to the lessee/ lessor or the other party one calendar month's notice in writing. 05/25 contd ..... 55,08 Market Secretary Rodcuture Produce Karet Committe. Document 6 SA UN HUSS $15 NOTARY PUBLIC ANO 8 13528/18 45 FIVE RUPEES Government of Jharkhand Receipt of Online Payment of Stamp Duty NON JUDICIAL Receipt Number : 845d4e8bb117940546f1 Receipt Date : 29-Aug-2024 11:53:53 am Receipt Amount : 500/- Amount In Words : Five Hundred Rupees Only Document Type : Affidavit out of India (Jharkhand) and Notaries Rules 1958 by Authorised Under Notaries Act 1962 District Name : Ranchi Stamp Duty Paid By : JHARKHAND STATE AGRICULTURAL MARKETING BOARD RANCHI Purpose of stamp duty pa....
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....avit on behalf of the Appellant. Respondent I, ANUJ KUMAR PRASAD, aged about 52 years, S/o LATE LAKSHMAN PRASAD. Residing at- LALPUR P.O. & P.S .- - LALPUR , District-RANCHI do hereby solemnly affirm and state as follows :- 1. That I am posted as SECRETARY,JHARKHAND STATE AGRICULTURE as MARKETING BOARD and have been duly authorized to swear the present affidavit. 2. That I have gone through the contents of the petition and have fully understood the same. 2.9 AUG 2021 „That it is stated that the shops and godown situated at Agriculture Produce Market committee of various district of Jharkhand state is owned by concerned AGRICULTURE PRODUCE MARKET COMMITTEE ONLY and rent of said shops and godown is collected by the concerned AGRICULTURE PRODUCE MARKET COMMITTEE and deposited in own account of AGRICULTURE PRODUCE MARKET COMMITTEE. 4. That it is stated that Jharkhand State Agriculture Marketing ASAN HUS S NOTARY N PUBLIC Reg.No .- 13528/18 Ranch Document 8 Board is not the owner any shops and godown situated at concerned AGRICULTURE PRODUCE MARKET COMMITTEE in various districts of Jharkhand and not collected any rent for shops and godown of conce....