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2023 (8) TMI 1150 - AT - Service TaxLevy of service tax - Business Auxiliary Service or not - appellant is Authorized distributor/Franchisee - dealing with recharge coupon/mobile connection and getting commission from BSNL - HELD THAT:- This issue has been considered by various benches of the Tribunal and has consistently been held that the assessee is not liable to pay service tax under the category of ‘Business Auxiliary Service’. Further, in view of the judgement of GOYAL AUTOMOBILES AND NAROTA RAM GOYAL & SONS VERSUS COMMISSIONER OF CENTRAL EXCISE CHANDIGARH - II [2016 (2) TMI 725 - CESTAT NEW DELHI] which was not challenged by the Revenue before the appellate authority wherein the Tribunal held the commission paid to appellants is also included in the value on which tax has been collected from the customer. The customer is, consequently, the recipient of the full value of services from none other than M/s. Bharat Sanchar Nigam Ltd.; thus, it is no different from the other two products. Further, this Tribunal in the case of M/S. DEVANGI COMMUNICATIONS, M/S. BOOPALAM ELECTRONICS, INDEPENDENT ASSOCIATES, M/S. SOMAYA MARKETING, M/S. VINAYAKA AGENCIES, M/S. MAGNUM VISION, M/S. BHOOPALAM MARKETING SERVICES PVT. LTD. VERSUS THE COMMISSIONER OF SERVICE TAX, & THE COMMISSIONER OF CENTRAL EXCISE BANGALORE-II AND CCE VERSUS SHRI V.M. NAYAK BENNE [2018 (8) TMI 960 - CESTAT BANGALORE]held that when the telecom operators are discharging service tax on the whole MRP value of SIM cards and recharge cards, then there could be no further service tax liability on the persons who are dealing/selling the said SIM cards or recharge cards to the public. The impugned order is not sustainable in law - Appeal allowed.
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