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TMI Blog2015 (2) TMI 192X X X X Extracts X X X X X X X X Extracts X X X X ..... category of "Supply of tangible goods" under Section 66 of the Finance Act, 1994, for the period from May, 2008 to January, 2013. 2. The Ld. Advocate on behalf of the applicant submits that the adjudicating authority admitted the fact that the control over the goods to the extent of maintenance and smooth functioning of the aircrafts during the lease period was with the applicant. The Ld. Advocate drew the attention of the Bench various clauses of the lease agreement to establish that the effective control of the property is with the applicant. He also drew the attention of the Bench Board's Circular No. Dy. No. 20/Comm. (ST)/2009 dated 02.09.2009, wherein the issue on levy of service tax exclusively on chartering of Aircrafts has been ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ft on lease basis only without any legal possession. Prima facie, we find that the applicant acquired the aircraft on the basis of the lease agreement, which is the legal possession. It is seen that on the identical issue, the Tribunal in the case of Blue Dart Aviation Ltd. (supra), granted unconditional stay. The Ld. AR strongly emphasis that Clause 14(II) of the agreement, which provides that the owner may enter into the premises where the aircraft is located and take possession of and remove the aircraft with or without notice to the lessee, and with or without legal proceedings, all without liability of owner to lessee. We find that Clause 14 of the agreement would be invoked in the event of default, that the right accrues with the owne ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ; (d) a tax on the transfer of the right to use any goods for any purpose (whether or not for a specified period) for cash, deferred payment or other valuable consideration;" In terms of sub-clause (d) of the said Article, tax on the sale or purchase of goods included a tax on transfer or right to use any goods for any purpose for cash. The fact that the same is for specified period will not alter the status of the deal. Ld. senior advocate clarifies that in terms of the said provision, the deal between the appellants and M/s. EAT is required to be treated as "deemed sale" so as to be covered by the provisions of sales tax. However, on being questioned, he clarifies that no sal ..... X X X X Extracts X X X X X X X X Extracts X X X X
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