2013 (3) TMI 105

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... or the Respondent. [Order per : Ashok Jindal, Member (J)]. - A Service Tax demand of Rs. 2,21,43,181/- has been confirmed against the applicants on account of write-backs and volume discount received by them under the categories of 'advertisement agency services'. 2. The facts of the case are that the applicant undertook advertising work for their clients on two components (i) creation of a .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ooks of accounts as "write backs". The service tax demand on this amount has been confirmed for Rs. 1,36,84,668/- under the category of advertising agency service. Another demand of Rs. 84,58,513/- has been confirmed on discounts received by the applicant from media for giving bulk volume advertisement to them. This demand has been confirmed under the category of Business Auxiliary Services. The a .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... rite backs" cannot be treated as a part of service tax as the same is of the cost of the media and the same shall not be includable in their taxable amount. In support of their contention he relies on the judgment of the Hon'ble High Court of Bombay in the case of Commissioner of Income Tax v. Heros Publicity Services - 2001 (248) ITR 256 (Bom.). He further submitted that most of the demands are b .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... scharged the service tax liability, therefore the difference of the amount which they retained without paying the service tax, they are liable to pay service tax. He further submitted that in the case of Group M. Media India Pvt. Ltd (supra), this Tribunal has granted unconditional waiver of pre-deposit on the facts that the client will decide the advertiser and the liberty was not given to the ap .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... 1,36,84,668/- within eight weeks from today. 7. Further we find that the learned C.A. has been able to show us that in the present case also the advertising agency is not at the liberty to decide the advertiser. Therefore, the facts are somehow same to the facts of Group M. Media India Pvt. Ltd. (supra) wherein this Tribunal has granted unconditional waiver of pre-deposit. Therefore, we waiv .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X