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2015 (12) TMI 93 - HC - Service TaxBusiness Support Service - owner allowed to use its entire infrastructure to the assessee - assessee was manufacturing and doing the business in the name of owner and received huge money as conducting charges - Held that:- Under the agreement, the Assessee agreed to pay to M/s. KSM an amount of ₹ 30 lacs towards use of infrastructure for manufacture of liquor. As per clause 2 of the agreement, all profits and losses in respect of the manufacturing and sale of the products in the distillery division are on account of the Respondent Assessee. The Respondent Assessee had actually taken over the distillery unit of M/s. KSM. It undertook the manufacturing activity as well as sale of products. There was no evidence on record to show that the Assessee had received any amount from M/s. KSM for providing any service in relation to the business. It is the conducting agreement which has been referred extensively. Its clauses have been read together and harmoniously to conclude that the arrangement or deal in the present case is of such nature that M/s. KSM's distillery unit is taken over for conducting and managing by the Assessee. The Assessee is therefore responsible for any profits being generated or losses sustained. The nature of the transaction therefore would not fall within the meaning of support services for business or commerce. The conducting of the running business and its management and administration is therefore the basis of the finding. We are of the opinion that such factual findings and which are consistent with the materials placed on record cannot be termed as perverse or vitiated by any error of law apparent on the face of the record. - Appeals do not raise any substantial question of law - Decided against Revenue.
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