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2016 (3) TMI 354 - SUPREME COURTBusiness auxiliary service - services provided by the Banks for collection of telephone bills, collection of insurance premium on behalf of the client companies - Held that:- Clause (12) of Section 65 covers all charging services rendered by the Banks. - when cash management services stood excluded from the purview of service tax at the hands of the Bank until 31.05.2007, the authorities cannot levy service tax on an activity which is essentially cash management service, by taking aid of other general charging heads, such as business auxiliary service. Further, Section 65A of the Act, while dealing with classification of taxable services, has clarified in sub-section (2) that “when for any reason, a taxable service is, prima facie, classifiable under two or more sub-clauses of clause (105) of Section 65, classification shall be effected in the prescribed manner - No demand can be made - Decided against the revenue.
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