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2013 (10) TMI 1155 - AT - Service TaxAuthorized service station - nature of commission received from various banks and financial institutions, through M/s. Maruti Udyog Ltd - Commission received from M/s. Maruti Udyog Ltd. (M/s. MUL) on account of sales/target incentive, incentive on sale of vehicles and incentive on sale spare parts for promoting and marketing the products of M/s. MUL. - Held that:- commission received from various bank/finances institution for arranging loan to their prospective buyers comes under the business auxiliary service - the issue is settled in favour of the Revenue in the case of CCE, Jaipur vs. Chambal Motors (P) Ltd. 2008 (9) STR 275 [2007 (10) TMI 552 - CESTAT NEW DELHI] - demand confirmed - decided against the assessee. Extended period of limitation - Held that:- In respect of time bar, the contention of the assessee is that there was a confusion in the Board's circular whether the activity comes under the business auxiliary service or not. We find that MUL was paying service tax on the commission received from various banks/finances institutions. MUL advised the assessee to get registered with the Service Tax department and to pay service tax on this activity. In spite of this, the assessee had not paid service tax though got registered with the Revenue as provider of taxable service in October, 2004. - Decided against the assessee. In respect of sales/target incentive, the revenue wants to tax this activity under the category of business auxiliary service -Held that:- We have gone through the circular issued by MUL which provides certain incentives in respect of cars sold by the assessee respondent. These incentives are in the form of trade discount. - no demand - decided in favor of assessee.
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