Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2018 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (5) TMI 402 - AT - Service TaxWhether the activity undertaken by M/s. Xerox for various contracts for Maintenance and Repairs do qualify as Maintenance or Repair Service, or not? - Held that: - It is a fact that appellant is engaged in the activity of Maintenance and Repair of equipments supplied by them under various contracts. M/s. Xerox is required to replace the parts and accessories at the time of repair or maintenance - these are the Works Contracts and M/s. Xerox is paying VAT on the portion of materials supplied, therefore in the light of the decision in the case of Wipro GE Medical Systems Limited [2008 (8) TMI 207 - CESTAT, BANGALORE] M/s. Xerox is liable to pay service tax only on Labour Portion. Whether the service namely, XGS shall qualify under 'Business Support Service' or ‘Business Auxiliary Service’ or under Works Contract service? - Held that: - the appellant is engaged in the activity of printing of bill and not ‘Billing’. Therefore, the said printing of bill is altogether a different activity from the billing and cannot be termed as ‘Billing’ - the services in question do not qualify under the category ‘Business Auxiliary Service’ - appeal of Revenue dismissed. Whether the activity undertaken by M/s. Xerox are properly classifiable under Works Contract or not? - Held that: - for the period prior to 01.06.2007, no demand is sustainable under the category of ‘Maintenance and Repair Service/ Business Support Service/ Business Auxiliary Service for the activity undertaken by M/s. Xerox as the services of Business Support Service and Maintenance and Repair along with material and the agreement cannot vivisect the amount of material supplied by M/s. Xerox - The activities undertaken by M/s. Xerox under various contracts in question for Maintenance and Repair and XGS i.e. 'Business Support Service'/‘Business Auxiliary Service’ do not qualify as taxable service under Works Contract service, under Section 65 (105) (zzzza) of Finance Act, 1994, during the period - M/s. Xerox is not liable to pay service tax under the category of Maintenance and Repair service/ 'Business Support Service'/‘Business Auxiliary Service’. Whether interest can be demanded and penalty can be imposed against M/s. Xerox? - Held that: - As no demand is sustainable on M/s. Xerox therefore demand of interest and penalties are also set-aside. Appeal allowed - decided in favor of appellant.
|