TaxTMI 
TaxTMI 
2026 (2) TMI 334
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....are Pvt Ltd and Clearview Healthcare Pvt Ltd (collectively known as Diagnostic Service Providers or 'DSPs') for providing the pathology lab and other diagnostic services in the hospital. Further, as per the agreements, the Appellant provides basic amenities such as space, water, electricity etc to DSPs for functioning and DSPs install and operate their equipment in the Appellant's premises. DSPs render services to patients within the hospital premises and outside the hospital premises. The Appellant raises the invoice on patients for diagnostic services rendered in the hospital and shares for receipts with DSPs in an agreed percentage for which DSPs also raise monthly bill for collection. This amount is paid to DSPs after deducting the administrative and up-keep charges. DSPs also share the revenue earned by rendering services outside the hospital premises to patients referred by the Appellant in an agreed percentage. The department entertained the view that the Appellant are providing Business Support Services ('BSS') to DSPs therefore, the Appellant are liable to pay the service tax under BSS. On these allegations, the SCN was issued to the Appellant proposing the demand of servi....
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....Commissioner (Appeals) OP Jindal Institute of Cancer & Research 2015-16 to 2017-18 (till June 2017) Service Tax on services provided to DSPs and Doctors Order-in-Appeal No. Appl/PKL/ST/248/2018-19 dated 26.02.2019 passed by the Commissioner (Appeals) NC Jindal Charitable Trust 2015-16 to 2017-18 (till June 2017) 4.1 She further submits that the issue involved in the present case has been settled in the Appellant's favour till the Tribunal level, as mentioned in the above table, and the department has not filed any appeal against the above-mentioned Orders, therefore, the said Orders have attained finality. She further submits that the department deviated from its stand while passing the impugned order confirming the demand on the same issue against the Appellant. She also submits that it is a settled law that the department cannot take contrary stands on the same issue for the same assessee. For this, she places reliance on the following decisions: * CCE, Pune-II vs. S S Engineers - 2023 (386) ELT 192 (SC) * Rosmerta Technologies Ltd vs. CCE - 2020-TIOL-916CESTAT-CHD affirmed by Hon'ble Supreme Court - 2021-TIOL-24-SC-ST-LB 4.2 The learned ....
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....m Hospital, Bombay Hospital & Medical Research Centre, Appollo Hospitals, M/s Max Health Care Institute Ltd vs. CCEs & CSTs and CST Delhi vs. M/s Indraprastha Medical Corporation Ltd - 2018 (11) GSTL 427 (Tri. Del.) 4.3 The learned Counsel further submits that the services, if any, rendered by the Appellant are not BSS, the same qualify as 'healthcare services'. She further submits that in the case of OP Jindal Institute of Cancer & Research vs. CCE, Rohtak - 2024 (10) TMI 824 CESTAT Chandigarh, this Tribunal has itself held that the Appellant are not providing services under BSS. She also relies on the following decisions wherein also similar placed transactions have been held to be not exigible to service tax under BSS: * M/s Fortis Healthcare India Ltd vs. CCE - 2019 (9) TMI 462 CESTAT Chandigarh * M/s Ivy Health & Life Sciences P Ltd vs. CCE - 2019 (4) TMI 178 CESTAT Chandigarh * CCE & ST, Panchkula/Delhi-IV vs. Alchemist Hospital Ltd, Artemis Medicare Services Ltd (vice versa) - 2019 (3) TMI 1331 CESTAT Chandigarh * SJS Healthcare Ltd vs. CCE - 2024 (4) TMI 300 CESTAT Chandigarh * Aashlok Nursing Home Pvt Ltd vs. CCE - 2024 (5) T....
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....l to reproduce the definition of 'Support Service of Business or Commerce', which is reproduced herein below: "Section 65(104c) : "support services of business or commerce" means services provided in relation to business or commerce and includes evaluation of prospective customers, telemarketing, processing of purchase orders and fulfilment services, information and tracking of delivery schedules, managing distribution and logistics, customer relationship management services, accounting and processing of transactions, [Operational or administrative assistance in any manner], formulation of customer service and pricing policies, infrastructural support services and other transaction processing. [Explanation - For the purposes of this clause, the expression "infrastructural support services" includes providing office along with office utilities, lounge, reception with competent personnel to handle messages, secretarial services, internet and telecom facilities, pantry and security;] Section 65(105)(zzzq) : to any person, by any other person, in relation to support services of business or commerce, in any manner;" 7. Further, we have also seen the t....
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....e for the balance work. The accounts in respect of the Revenues collected by the Hospital will be audited by the LPL at its own cost and the Hospital hereby agrees to make available such audited accounts to LPL for reconciliation to determine the mutual shares. The Revenues shall be shared on a monthly basis. ⮚ As per details given by the Hospital, the yearly net revenues at present is Rs. 1.6 cr. which has been taken as basis for arriving at the above mentioned revenue share. The hospital will help LPL and try to make sure that at least this revenue is generated out of the pathology lab. Any deviation beyond 10% on lower side will attract a revision of the revenue sharing clauses mutually. ⮚ The Hospital will be responsible for all cash collections for the tests referred by the Hospital ⮚ The Hospital will allow LPL to perform tests of samples collected from the network other than the Hospital in the LPL lab situated inside the hospital premises." The perusal of above clauses reveals that there is absolutely no stipulation of payment of any service charges by the DSPs to the appellant and the contract is purely for sharing o....
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.... the position to provide the service to the appellant. We also note that it is the appellant who is engaged in running the Hospital for providing the healthcare services to public and the diagnostic services provided by the DSPs are an integral part of such healthcare services provided by the appellant. Healthcare services are fully exempted from the tax w.e.f. 25.04.2011 vide Notification No. 30/2011-ST dated 25.04.2011. This notification was rescinded w.e.f. 01.07.2012, but healthcare services are not liable to service tax in the negative list regime also. 12. We also find that the case-laws relied upon by the appellant regarding the revenue-sharing arrangement clearly held that if there is a revenue-sharing arrangement on principal-to-principal basis to further their mutual interest of providing healthcare services to the patients, then no service tax can be levied. 13. Further, we are of the view that in the present case the service, if any, rendered by the appellant are not 'BSS' and rather qualifies as 'Healthcare Service' which is exempted from service tax. 14. As regards the invocation of extended period of limitation, we are of the view that the ....