TMI Blog2011 (5) TMI 386X X X X Extracts X X X X X X X X Extracts X X X X ..... cause notice dated 9.1.03 was issued proposing recovery of service tax under the category of C & F agent as the term C & F included consignment agent in terms of Section 65(25) of Finance Act, 1994 - As per the decision Hon ble High Court of Karnataka in the case of CCE, Bangalore vs, Mahaveer Generics [2009 -TMI - 75387 - KARNATAKA HIGH COURT]- set aside the order of the Commissioner (Appeals) and that of the original authority and remand the matter to the original authority for fresh consideration in the light of decision of the Hon ble High Court of Karnataka in the case of Mahaveer Generics - Hence, the appeal is allowed by way of remand. - ST/266/2008-Cus - - - Dated:- 31-5-2011 - Mrs.Archana Wadhawa, Mr.M.Veeraiyan, JJ. Presen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ts of the principal which shall be delivered to them by the principals from time to time. (c) That, the consignment agent shall also maintain the complete details of the goods received from the Principals, the sale made from time to time to various persons in their territory, the sale proceeds realized by them including the expenses incurred in connection with the said sale. 6. That, the Principal shall pay to the said selling consignment Agent the commission @ Rs.300/- at the net sales realization while will be arrived at after deducting from the gross amount, the freight, insurance, octroi and other expenses and charges etc. 8. That, the principal will have the running account of the Consignment Agent in his Company and the am ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on the sale of the Product within his territory and also prepare and submit Sales Tax Returns, do all the formalities and necessary compliance as required under the tax laws of the Centre and State. The Principal shall not be responsible in respect of sales tax or any other tax matters after transfer of title of the product . 3.2 A show cause notice dated 9.1.03 was issued proposing recovery of service tax under the category of C F agent as the term C F included consignment agent in terms of Section 65(25) of Finance Act, 1994. Show cause notice also containeed a proposal to appropriate Rs.1,21,867/- alongwith interest of Rs.1,09,644/-. The matter was adjudicated by original authority on 26.10.04 and the order was set aside by the C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... delivery of the above goods from the railways/carrier, pay octroi duty. Where as in the agreement in Mahaveer Generics and M/s.Cipla Ltd. There was no such clause . The Commissioner (Appeals) also held that the original authority was right in following the decision in the case of Mahaveer Generics inasmuch as the same has not been set aside by a higher forum. 6.2 As submitted by the learned SDR, the decision of the Tribunal in the case of Mahaveer Generics stands overruled by the Hon ble Karnataka High Court. Since the Commissioner (Appeals) and the original authority decided on merits in favour of the respondents relying on the said decision of the Tribunal and no other issues were discussed, we deem it appropriate to accede to reques ..... X X X X Extracts X X X X X X X X Extracts X X X X
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