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2020 (12) TMI 505 - AT - Service Tax100% EOU - Classification of services - employee of the parent company, Nektar USA, was sent to India on a secondment to work as a full time Managing Director of the Indian company - reimbursement of salary paid to the ‘secondee’, to the parent company, Nektar USA - manpower recruitment and supply agency services or not - HELD THAT:- The issue is no longer res integra as the Hon’ble Supreme Court has, in the case of M/s Nissin Brake India Pvt Ltd [M/S NISSIN BRAKE INDIA PVT. LTD. VERSUS CCE, JAIPUR – I], dealt with similar issue - This view has been reiterated by the Chennai Bench of the Tribunal in the case of M/s Komatsu India Pvt. Ltd. Vs Commissioner of Service Tax, [2019 (9) TMI 1408 - CESTAT CHENNAI] and Bangalore Bench of the Tribunal in the case of M/s Goldman Sachs Services Pvt. Ltd. Vs Commissioner of Service Tax, Bangalore[2020 (10) TMI 292 - CESTAT BANGALORE]. Going by the above ratio decidendi of the Hon’ble Apex Court, there are no merit in the demand raised by the revenue - the revenue is not disputing that the ‘secondee’ is always under the control and supervision of the appellant and that the appellant’s parent company had absolutely no obligation to pay the salary and other charges to the ‘secondee’ but for remitting secondee’s salary in foreign exchange based on the salary reimbursement agreement. Appeal allowed - decided in favor of appellant.
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