2015 (1) TMI 549

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..... any Secretary For the Respondent : Shri M S Reddy, Deputy Commr. (AR) JUDGEMENT Per: P S Pruthi: The appellant M/s. Konkan Synthetic Fibres (Processed Yarn Unit - Proprietor of Century Enka Ltd.) are in appeal against the order of Commissioner (Appeals) which concurred with the order-in-original confirming service tax demand of Rs. 9,15,892/- along with interest and penalties under Sections 76 .....

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..... ant has taken us through the details of the Agreement indicating that specific amount is charged for provision of each of these facilities. He stated that the provision of facilities is nowhere covered by the term 'Management Consultancy' and there is no client to principal relationship between the two entities. He relied on case laws namely Batliboi Consultant Pvt. Ltd. 2006 (1) S.T.R. 229 (C .....

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..... clude the activities of the appellant under this definition. 6. We have carefully considered the rival contentions. The bone of contention is the Agreements. Some clauses of the agreements are extracted below, which indicate the nature of the services/facilities provided by appellant to M/s. Centak Chemicals Ltd. General Support Services: 1. The use of infrastructural and /or utility facilities .....

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..... al Rs. 2,18,000/-   We find from the clauses of the Agreement that reimbursement is being made by M/s. Centak Chemicals for use of the facilities provided by the appellant. The income received from M/s. Centak Chemicals is reflected in the balance sheet of Century Enka. We have considered the definition of management consultancy service and management consultant. As per Section 65(65), Man .....

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..... o do with provisions of facilities such as water, effluent treatment, etc. the expenditure of which is all reimbursed to the appellant. We are appreciate the reliance on citations referred to above and we see no reason to disagree with these decisions. 6. In view of the above, the impugned order is set aside and appeal is allowed. (Pronounced & Dictated in court)
Case laws, Decisions, Judgem .....

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