Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2015 (11) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (11) TMI 1180 - AT - Service TaxWaiver of pre deposit - IPR service - Transfer of rights - Held that:- additional rights will not be granted to any third party for a period of two years and the appellant gets time of one more year to achieve the turnover for a particular product. In our opinion when a right is transferred temporarily, there will be a cost to be paid on the basis of specific parameters periodically. In the case of permanent transfer, consideration is paid once for all and therefore no payment would be required. In this case, the consideration paid would become worthless for BL if they are not able to achieve the milestones and they will not be able to enjoy their rights at all. On the other hand, if they achieve the milestones, there is no indication that they have to make payments periodically. Prima facie, in our opinion, it cannot be said that the transfer is a temporary one. - Since we have found a prima facie case on the ground that the transfer in this case cannot be considered as a temporary one, we consider that appellant has made out a prima facie case for complete waiver only on that basis - Stay granted.
|