2017 (12) TMI 13 - CESTAT NEW DELHI - Service Tax

Head Note / Extract:
Classification of services - whether hiring of the foreign vessels for transportation of petroleum product imported by the respondent, on time chatters basis, falls under the taxable category of “Supply of Tangible Goods for Use”? - Held that: - the issue is held in favor of the respondent by the Tribunal in the case of PETRONET LNG LTD Versus COMMISSIONER OF SERVICE TAX [2013 (11) TMI 1011 - CESTAT NEW DELHI], holding that those transactions fall within the ambit of the exclusionary clause of Section 65 (105)(zzzzj) of the Finance Act, and are therefore, immune to the liability of service tax - however, In view of the fact that the order dated 24.10.2013 passed by this Tribunal in earlier occasion in respect of the same dispute in the case of the respondent has not been stayed or over-ruled, contrary view cannot be taken by the Tribunal in deciding the present appeal and the Principles decided therein can be adopted for deciding the issue in hand. The transactions made by the respondent will not fall under the scope and ambit of “Supply of Tangible Goods for use” service - appeal dismissed - decided against Revenue.