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2014 (3) TMI 511 - AT - Service TaxBusiness Auxiliary Service - bullet proofing of vehicle - Exemption Notification No. 12/2003-ST dated 01.07.2003 - element of distinct sale of goods - First model of operation - Held that:- Prima facie no basis for reading down the Section 65(19). Further, whether the service aspect of the transaction which in another aspect may also amount to a sale, is within the province of the federal legislature, is an issue that should appropriately be considered at the final hearing of the appeal. Suffice to it notice for the nonce that the transaction covered by the first model, prima-facie fall outside the scope of Section 65(19). We consider it to be so since in that model of operation the petitioner purchases the vehicle and therefore become the owner and the bullet proofing value addition on such vehicles would amount to a service to self. There is no activity of processing of goods on behalf of another since the vehicles belong to the petitioner and the value addition is done to its own vehicles. - Stay granted. Second model of operation - vehicles in issue are supplied by the customer and on such vehicles bullet proofing is done by the petitioner - held that:- this activity amounts production or procuring of goods on behalf of another. - It is also not clear from the order whether the petitioner furnished documentary proof in support of its claim for exclusion of the value of the goods transferred to the customer in the process of bullet proofing - stay denied for second model of operation.
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