TMI Blog2009 (8) TMI 377X X X X Extracts X X X X X X X X Extracts X X X X ..... he buyer. The buyer is a person who actually pays the freight. Thus the liability to pat tax is on the buyer not on the service provider. Therefore, Impugned order is unsustainable and liable to be set-aside. - ST/475 OF 2009 - 1106 OF 2009 - Dated:- 17-8-2009 - M.V. RAVINDRAN, JUDICIAL MEMBER AND P. KARTHIKEYAN, TECHNICAL MEMBER K. Krishnamurthy for the Appellant. M. Ravi Rajendran for the Respondent. ORDER M.V. Ravindran, Judicial Member - This stay petition and appeal is directed against the Order-in-Appeal No. 19/2009 (V-I) ST, dated 25-2-2009. 2. After hearing both sides for sometime on the stay petition, we find that the issue involved in this case being squarely covered by the decision of this Tribunal, we ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of commercial or industrial constructions; and life insurance services to the extent of the risk premium. I may clarify that there is no intention to levy service tax on truck owners or truck operators. Nor, as was clarified by my predecessor, is there any intention to levy service tax on the savings part of the premium collected by an insurer." 6.1 From the above, it is very clear that the legislative intent is to tax only the services provided by a Goods Transport Agent to a customer and not the owner. Further, the learned Advocate referred to our attention rule 2(1)(d)(v) of the Service Tax Rules, 1994 wherein the person liable to pay service tax is defined. Person liable to pay service tax means the person who pays or is liable to pa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the seven specified persons or not. The use of the word 'or' between the terms 'consignor' and 'consignee' shows that if either the consignor or consignee falls under the category specified therein, then any person who pays or is liable to pay freight is the person liable to pay Service Tax. Therefore, it was argued there was no need for the Commissioner (Appeals) to remand the matter when the law is clear that the liability is on the person who pays the freight. 8. The learned JCDR reiterated the contentions in the impugned order. 9. On a very careful consideration of the entire issue, we find that the appellants transport the goods in their own vehicle to the buyer. The buyer is a person who actually pays the freight. It is very c ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
