TMI Blog2017 (5) TMI 1256X X X X Extracts X X X X X X X X Extracts X X X X ..... undertaken; therefore, it would not fall under the definition of Advertisement Agency Service and will not be liable to Service Tax. An agent merely procuring an order for advertisement for a principal namely print media is not an advertising agency. The appellants activity being only this and nothing more, therefore, cannot bring them & classify them to be an Advertising Agency. Demand set ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... expenses during different periods towards advertisements published in foreign newspapers/ magazines. ii) The Dept.'s stand is that since foreign agency/person providing the said advertisement service did not have any office in India, the appellant being recipient of the said services is liable to pay Service Tax under Rule 2(1)(d)(iv) of Service Tax Rules 1994 read with Section 66A of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... /preparing' of advertisements, but payment is limited to mere publication of advertisements only. 4.1 The subject matter appears to be covered by the decision of Tribunal in the case of Zee Telefilims Ltd Vs CCE, Mumbai - 2009(4) STR, 349 (Tri-Mum) wherein the Tribunal refers to the CBEC Circular dt 28.10.2003 clarifying that giving advertisement to a particular newspaper/magazines may ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... space selling . In such cases, since the agency undertakes the job of merely bringing the order for an advertisement and does not undertake any further activity, it would not fall within the definition of Advertising Agency and will not be subjected to Service Tax. 3. On the other hand, 'canvassing' may involve such agency approaching a customer, receiving the texts of the advertisem ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g them classify them to be an Advertising Agency 4.2 In the light of the above observations of the Tribunal, the activity of publishing advertisements for the product of the appellant, which has been performed by the foreign agency is an activity under the category of selling of space for advertisement in newspaper/magazines, which has been excluded and the recipient of the said services i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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