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2009 (11) TMI 223 - HC - Service TaxCourier Service - service tax liability on Franchisor (appellant) - the service charges collected and shared between the appellant and the agents/franchisees - appellant is engaged in rendering courier service which involves collection of letters, parcels, articles etc from customers and then delivery of the same to the addressees. In this business, the appellant has engaged several agents who are named as Franchisees in the agreement between the appellant and them whereunder these agents collect articles from customers along with service charges at the tariff prescribed by the appellant. Held that: In this case, in fact, the agent/franchisee is not doing independent business but is only acting as agent for collection and delivery of parcel as agent in the courier service. Apart from appointing the agent / franchisees, the appellants are not rendering any service to the franchisees. - the assessment and demand of tax from the appellant under section 65(47) read with Section 65(105)(zze) is untenable.
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