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2022 (9) TMI 677 - Service Tax
Levy of service tax - Mailing list compilation and Mailing services - fee towards providing access to CAT’s scores - HELD THAT:- The appellants are a premier institution and are engaged in providing education in the field of management and business. For the purpose of admission into the IIMs, IIM Ahmedabad conducted the CAT (common admission test) of candidates in the year 2009. A large number of candidates took the exam and some candidates were selected by IIMs for the purpose of admission to IIM. A larger number of candidates who took the CAT exam also applied to various other institutes and those institutes sought to use the CAT’s scores for the purpose of admission into their schools. To access the CAT scores for themselves, the said Non-IIM Institutes entered into a Memorandum of Understanding with IIM Ahmedabad, the appellant. The Memorandum of Understanding clearly prescribed the eligibility of people who could take the CAT exam.
It is seen that the appellants are not compiling any list or providing list of names addresses etc. The appellants are merely providing scores in respect of names of candidates supplied by the clients (Non-IIM Institutes). Moreover, the activity of ‘Mailing list compilation and mailing’ is done for or on behalf of the client. In this case the appellants are only dealing with the clients and not with any third party.
There are no reason to hold that the activity done by the appellant is covered under the head of ‘Mailing list compilation and Mailing service’ - appeal allowed - decided in favor of appellant.