TMI Blog2014 (9) TMI 875X X X X Extracts X X X X X X X X Extracts X X X X ..... unctions from the premises of Cipla. Thus the activity of the appellant is a forwarding activity. In the Kulcip Medicines case [2009 (2) TMI 89 - PUNJAB AND HARYANA HIGH COURT], the Hon’ble High Court of Punjab & Haryana held that to come under the category of “Clearing and Forwarding Agent” both the functions, namely, clearing and forwarding should be undertaken and the word “and” has been used in a conjunctive sense. The Hon’ble High Court also took notice of the Larger Bench decision in the case of Medpro Pharma and overruled the said decision. The SLP filed by the Revenue against the said decision was dismissed by the Hon’ble Apex Court after hearing the Petitioner. In these circumstances, the decision of the Hon’ble P&H High Court in K ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... irmed along with interest and by imposing penalties. The appellant preferred an appeal before the lower appellate authority who dismissed the appeal. Hence the appellant is before us. 3. The ld. counsel for the appellant makes the following submissions :- (i) The appellant was appointed as Carrying and Forwarding Agent by M/s. Cipla to receive the products manufactured/purchased or otherwise acquired by Cipla at their premises and to store and dispatch the same as per the directions of Cipla as per the agreement dated 1-3-1999. As per the said agreement the appellant was required to render services such as security and maintenance of the products, execute the orders, despatch the goods, prepare documents for distribution, keep wa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... herefore, unless both the activities of clearing and forwarding are undertaken by the service provider, the same can not be brought under the purview of clearing and forwarding agents services. If the service provider undertakes only any one of the functions, that is, either clearing or forwarding, the said activity can not be brought under the Service Tax levy. The said decision of the Hon ble High Court affirmed by the Hon ble Apex Court in the same case reported in 2012 (25) S.T.R. J127 (S.C.) wherein the SLP filed by the Revenue was dismissed. The ratio of the said decision applies to the facts of the present case and therefore, the appellant is not liable to pay any service tax. 4. The ld. Additional Commissioner (AR) appearing fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ertake any clearing functions from the premises of Cipla. Thus the activity of the appellant is a forwarding activity. 5.2 In the Kulcip Medicines case, the Hon ble High Court of Punjab Haryana held that to come under the category of Clearing and Forwarding Agent both the functions, namely, clearing and forwarding should be undertaken and the word and has been used in a conjunctive sense. The Hon ble High Court also took notice of the Larger Bench decision in the case of Medpro Pharma and overruled the said decision. The SLP filed by the Revenue against the said decision was dismissed by the Hon ble Apex Court after hearing the Petitioner. In these circumstances, the decision of the Hon ble P H High Court in Kulcip Medicines case p ..... X X X X Extracts X X X X X X X X Extracts X X X X
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