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2018 (10) TMI 84 - AT - Service TaxBusiness Support Services - appellant is a manufacturer of excisable goods namely, MS Angles, MS Channels and MS Rounds - appellant had arranged trucks for delivery of the said final products at customer's destination and for such activity, it had collected delivery charges from the customers - Department interpreted that such extra amount retained by the appellant for delivery of the goods at the premises of the buyer should be considered as a taxable service under the category of 'Business Support Service'. Held that:- Perusal of the purchase orders placed by the buyers on the appellant transpires that they placed orders for supply of the goods manufactured by the appellant. There were no separate agreements between the buyers and appellant for providing any service, over and above supply of goods - there is no involvement of a service provider and a service receiver relationship in the sale transaction made between the parties. Since transportation cost incurred was in context with delivery of goods at the buyers premises, it cannot be said that such facility extended by the appellant should be considered as a taxable service, leviable to service tax under the category of 'business support service' - thus, the activities undertaken by the appellant, do not confirm to the definition of taxable service, for the purpose of levy of service tax thereon. Appeal allowed - decided in favor of appellant.
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