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2014 (10) TMI 95 - AT - Service TaxClassification of service - Consulting Engineer Service or Real Estate Agent Service - Import of servcies - Commission (appeals) agreed with the classification under Real Estate Agent service but set aside the demand of tax holding that the services were mainly provided offshore and only some peripheral activities such as visit of personnel to the site were performed in India and other attendant expenses on communication and temporary structure facilities were incurred in India and therefore service tax is not leviable. - Held that:- there seems to over lapping between the description of the two services. Although, some components in the definition of Real Estate Consultant have been performed by Bechtel, the description of some components in the definition appear to be related to rendering service in relation to sale, purchase, leasing or renting of Real Estate. However, the activities of a Consulting Engineer are more comprehensive in scope as they cover all disciplines of consultancy and engineering be it feasibility study, detailed designing, construction, civil, mechanical, electrical engineering etc. The contention of the appellant that the Consulting Engineer Service more specifically describes the service provided by them and is the correct classification in terms of Section 65A (2) (a) for determination of classification is accepted. - the service provided by M/s. Bechtel comes under the category of Consulting Engineer Service. Offshore Services and levy of tax - Held that:- Keeping aside the peripheral activities of deputing personnel to India, the demand of service tax from a foreign entity is not valid especially when Revenue has not put forth any evidence that the services provided under the Agreement were not provided offshore. - Even if Revenue's stand (although Revenue's stand is not very clear) is that service has been provided from offshore territory to India, we find it is a settled matter that Service Tax on services provided by a service provider located outside India to a recipient in India is leviable only from 18.4.2006 with the introduction of Section 66A. - Decided against Revenue.
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