TMI Blog2016 (8) TMI 16X X X X Extracts X X X X X X X X Extracts X X X X ..... appellant has challenged the order of the Customs, Excise and Service Tax Appellate Tribunal, Western Regional Bench at Mumbai (hereinafter referred to as the Tribunal ). The Tribunal, after considering the contentions of the parties, rejected the appeal. 2. While admitting the appeal, this court has framed the following substantial question of law: Whether on the facts and in the circumstances of the case, Customs, Excise and Service Tax Appellate Tribunal is justified in reading the terms `rent and `hire as interchangeable in light of the definitions provided in sections 65(59) and 65(72)(o) of the Finance Act, 1994 for the purposes of fastening charge under section 66(3) of Service Tax as provided in Finance Act, 1994? 3 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... irous of driving by themselves or through drivers, either for their own use or for matters connected therewith, nature of services provided while hiring and renting is the same such that such services are taxable. Fact that legal possession of vehicle not handed over to person renting the vehicle, such that de jure possession continues with owner/provider of service, would not exclude the service from tax net. Thus, respondent cannot escape tax liability on ground that hiring is different from renting as intention of Government is to tax service provider of a service which involves both hiring and renting of a cab for a longer duration. Further, even those persons, natural or juristic, who do not have exclusive control over the vehicle, can ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or motor vehicle, such renting out of vehicle would be taxable service. Furthermore, there is no difference between renting and hiring of vehicle for levy of service tax. Sections 65(91), 65(105)(o), 68 and 73(1) of Finance Act, 1994 , sections 74 and 75 of Motor Vehicles Act, 1988 sections 35G of the Central Excise Act, 1944, as applicable to service tax vide section 83 of Finance Act, 1994. Words and Phrases Rent It means the act of payment for the use of something. Renting means a usually fixed periodical return, especially, an agreed sum paid at fixed intervals by a person for any use of the property or car. It is also the amount paid by a hirer to the owner for the use of the property or a car. On facts, Legislature not ha ..... X X X X Extracts X X X X X X X X Extracts X X X X
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