TMI Blog2010 (11) TMI 153X X X X Extracts X X X X X X X X Extracts X X X X ..... ceived by the appellant for providing the corporate guarantee is covered under Business Support Services and hence, liable to pay tax. Held that: provision of guarantee is specifically covered under other Banking and Financial Services classified under Section 65(12) of the Finance Act, 1994 - Therefore, the decision of the Tribunal in Dr. Lal Path Lab (P) Ltd. v. CCE, Ludhiana [2006 -TMI - 76 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 6 to 31-12-2007 and had incurred the tax liability. The appellant had not followed the statutory procedures including payment of tax due. The impugned order has affirmed the order of the Original Authority. The appellant had provided corporate guarantee to State Bank of India for loans taken by another entity M/s. Ecovinal International Pvt. Ltd. The demand is on account of the consideration recei ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s . It is proposed to tax all such outsourced services. If these services are provided on behalf of a person, they are already taxed under Business Auxiliary Service. Definition of support services of business or commerce gives indicative list of outsourced services. It is his submission that in the instant case, the service was provided on behalf of M/s. Ecovinal International Pvt. Ltd. to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ade by both sides, we find considerable merit in the submissions by the ld. Chartered Accountant for the appellant that corporate guarantee is appropriately classified under Banking and Financial Services of Section 65(12) of the Finance Act, 1994 and that the demand has been confirmed invoking an incorrect provision. We also find that as per the clarification issued by the TRU similar activities ..... X X X X Extracts X X X X X X X X Extracts X X X X
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