TMI Blog2007 (1) TMI 495X X X X Extracts X X X X X X X X Extracts X X X X ..... y in connection with the management of FISAF. Again, none of these services has been shown to involve advice, consultancy, or technical assistance relating to conceptualization, devising, development, modification, rectification or upgradation of any working system of the JV company. There is substance in the submission of ld. consultant that some of the services in question are covered by the definition of Business Auxiliary Services , which came to be introduced for levy of service tax w.e.f. 1-7-2003. The services in question were rendered in Oct 1999. The definition of Management Consultancy has continued to be same even after introduction of Business Auxiliary Services for levy of service tax. It would, therefore, mean that a s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... systems, transmission of information, creation of contracts and installment schedules, accrual processing of all contract financial elements, maintenance of detailed customer statement of accounts, arrears processing, handling of contract termination, fore closures, re-scheduling and administration of personnel and sales tax functions. I nformation Technology and MIS Service :- This category of service takes into account the maintenance of computerized information of the company s revenue accounting, guaranteeing date integrity, provision of a set of base customerised MIS reports and special reports. After Sales Service : - This service provides for customer interaction for regular payments, early settlement, change of financia ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... services rendered to them by the respondents, the Ministry (DGST) had informed FISAF that the said services would fall within the scope of Management Consultancy defined under Section 65(21) ibid. 3. Ld. consultant argued in support of the appellate Commissioner s order, wherein it had been held to the effect that the respondent-company holding 49% share in FISAF was part and parcel of the day-to-day management of the latter and, therefore, the services rendered by the respondent-company to FISAF were in the nature of internal organization and internal management , which did not attract the definition of Management consultancy . Ld. consultant, further, claimed support from the Tribunal s decision in Glaxo Smithkline Pharmaceuticals ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g system of the JV company. There is substance in the submission of ld. consultant that some of the services in question are covered by the definition of Business Auxiliary Services , which came to be introduced for levy of service tax w.e.f. 1-7-2003. The services in question were rendered in Oct 1999. The definition of Management Consultancy has continued to be same even after introduction of Business Auxiliary Services for levy of service tax. It would, therefore, mean that a service appropriately classifiable as Business Auxiliary Service cannot fall within the ambit of Management Consultancy . On this point, the respondents can legitimately claim support from the Tribunal s decision in Glaxo Smithkline Pharmaceuticals (supra). ..... X X X X Extracts X X X X X X X X Extracts X X X X
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