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2023 (5) TMI 97 - CESTAT AHMEDABADLevy of service tax - Real Estate Agent service - land sold to M/s. Sahara India Commercial Corporation Limited - appellant involved in the sale and purchase of land - appellant purchase land at ‘x’ price and the same is sold to M/s. Sahara India Commercial Corporation Limited at ‘x+1’ price - profit or lose is on the account of appellant only - HELD THAT:- Under the same arrangement of activity of purchase of land from farmers / landowners and re-sale the same to Real Estate Developers, in the present case M/s. Sahara India Commercial Corporation Limited, this Tribunal has taken a view that under this arrangement the purchaser and re-seller of land cannot be treated as Real Estate Agent for charging service tax under the said category. Reliance can be placed in the case of PREMIUM REAL ESTATE DEVELOPERS, RAJAT YADAV VERSUS C.S.T. -SERVICE TAX – DELHI [2018 (11) TMI 1472 - CESTAT NEW DELHI] where it was held that since the specific remuneration has not been fixed in the deal for acquisition of the land, both the parties have worked more as a partner in the deal rather than as an agent and the principle, therefore the taxable value itself has not acquired finality in this case - In the identical nature of transaction, it was held that assessee cannot be charged with service tax under ‘Real Estate Agent’. Following the said decision of this Tribunal, in the facts of present case the appellant’s activity does not fall under the category of Real Estate Agent Service, hence service tax demand under the said head cannot be sustained. Appeal allowed - decided in favour of appellant.
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