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2018 (3) TMI 707 - AT - Service TaxBusiness Auxiliary services - appellants disbursed loan to identified industry and obtained the commission for such financial activity - Revenue entertained a view that such commission earned while disbursing loan will be attracting service tax under the category of business auxiliary services in terms of Section 65(19) of the Finance Act, 1994 - Held that: - The fact remains that appellant did disburse the loans to the commercial enterprises in furtherance of their business and they did get the commission - The appellant is independent corporation for commercial activity. They may be mandated to act in a particular manner by the Policy of the government. That by itself will not exempt them from tax liability - there is no case for excluding income of appellant as commission in disbursing loan, from tax liability under BAS - demand upheld. Extended period of limitation - Held that: - the appellant is nothing to gain from suppressing the fact and no malafide intend can be attributed to them in the present facts and circumstances of the case - demand proceeding initiated against the appellant are barred by limitation for the period beyond normal period. Appeal allowed in part.
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