TaxTMI 
TaxTMI 
2025 (6) TMI 1583
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....al Excise and Customs, Cochin. 2. Briefly the facts of the case are that the appellant was engaged in the activity of procurement and sale of scrips and it was alleged that the appellant was liable to pay service tax on the income earned from the sale of these scrips and the Commissioner confirms the same under the category of 'Business Support Service' for the period from May 2006 to March 2010. Aggrieved by this order, the appellant is in appeal before us. 3. The Learned Counsel submits that the appellant had entered into an agreement with various exporters for purchase of licenses for a consideration and these licences are purchased at a value which is less than the face value of the license/scrip and the license so procured are so....
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....Services'. Relies on following decisions: * Uniworth Textile Ltd. Vs. Commissioner of Central Excise, Raipur 2013 (288) ELT 161 (S.C.) * Rolex Logistics Pvt. Ltd., vs. Commissioner of Service Tax, Bangalore 2009 (13) STR 147 (Tri. Bang.) 4. The learned Authorized Representative reiterated the findings of the learned Commissioner in the impugned order. 5. Heard both sides. The only issue to be decided is whether the activity of procurement and sale of scrips for exporters amounts to 'Business Support Service'. The Commissioner observing that for procuring license, the appellant enters into an agreement with the exporters, does all the documentation, submits the same to the authorities concerned, bears all the expenses....
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.... Business Support Service/Business Auxiliary Service are defined as 'any service in relation to (i) promotion or marketing or sale of goods produced or provided by or belonging to the client, (ii) promotion or marketing of service provided by the client; or (iii) any customer case provided on behalf of the client; (iv) procurement of goods .................. (v) production or processing of goods.............. (vi) provision of service on behalf of the client (vii) a service incidental or auxiliary to any one of above.......... 7. The Commissioner in the impugned order does not specify as to which of the above services were rendered by the appellant and moreover from which cla....
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....icing provided by the dealers for which no reimbursements are made by the vehicle manufacturers. It appears to us that such silence about the dominant practice of providing free servicing has resulted in some field officials taking unilateral action as in this case while majority of the dealers are not taxed on free servicing provided by them. 5. We also find that in the constitutional scheme of things, there is mutual exclusivity between the taxability of sale of goods, which is charged to sales tax by the State; the excise duty on manufactured goods which is levied by the Centre; and the tax on services, which is also levied by the Centre. The impugned amount in question is a part of the dealers' margin which has been recovered b....