Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2015 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (12) TMI 1009 - AT - Service TaxClassification - distribution of salary by bank - Banking and other Financial Services or business auxiliary service - Held that:- Lower authorities were in error in holding that appellant would fall under the category of commission agent and the amount received by them from the Government of Maharashtra through Zilha Parishad as service charges for disbursement of salaries of Govt. teachers cannot be considered as commission received, though it may be entered in the records of the appellant as commission received. - It may be seen from the reproduced definition the commission agent is defined as a person who while acting on behalf of other person undertakes the activity as mentioned herein above paras (a) to (d). None of the activities as indicated herein above is undertaken by the appellant as disbursement of salaries to the Govt. teachers would not fall in any of the activity, sale or purchase of goods or service. In our considered view, an amount received as a consideration for disbursement of salaries to the Govt. teachers on direction of Zillha Parishad can never be an activity covered under the definition of Business Auxiliary Service and more so it cannot be termed as an amount received by the appellant as commission agent. In view of the facts and circumstances of this case, we hold that the impugned order is unsustainable and liable to be set aside - Decided in favour of assessee.
|