TMI Blog2017 (9) TMI 233X X X X Extracts X X X X X X X X Extracts X X X X ..... which are furnished on weekly basis are inputs from the appellant for promotion of the business of sales of the goods belonging to M/s. HP. Therefore, the claim of the appellant that said 1% commission is under the category of normal trade discount, cannot be accepted - appeal dismissed - decided against appellant. - Service Tax Appeal No.55527 of 2013 - ST/A/55715/2017-CU[DB] - Dated:- 4-8-2017 - Mr. D M Misra, Member (Judicial) And Mr. Ashok K Arya, Member (Technical) Ms. Vibha Narang, Advocate for the Appellants Shri Amresh Jain, DR for the Respondent ORDER Per: Ashok K Arya 1. The appellant M/s. IRIS Computers Ltd. is in appeal against the order in original No.03/2012-2013 dated 30.10.2012 whereun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... herefore the appellant is in appeal before the Tribunal. 3. Both sides represented by learned Counsels, Ms. Vibha Narang, appearing for the appellant and Shri Amresh Jain, for the Revenue have been heard. 4. The appellant mainly pleads that i) Relationship between the appellant and M/s. HP is on principal to principal basis and there is no agency relationship; ii) Appellant is engaged in trading of goods and there is no provision of services in the nature of any promotion or marketing of goods. iii) Impugned activity is merely paper works i.e. collecting the information of sell in, sell and inventory report on weekly basis, which cannot be held to be Business Auxiliary Services . iv) Agreement does not provide for a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g, etc. 6.2. Now let us refer to the definition of Business Auxiliary Services (BAS) under which the Revenue claims that such submission of reports is covered. In Section 65(19) of Finance Act, 1994, Business Auxiliary Services is defined as under:- 65(19) Business Auxiliary Service means any service in relation to (i) promotion or marketing or sale of goods produced or provided by or belonging to the client; or (ii) promotion or marketing of service provided by the client; or (iii) .. (iv) .. (v) .. (vi) (vii) a service incidental or auxiliary to any activity specified in sub-clauses (i) to (vi) such as billing, issue or collection or recovery of cheques, payments, maintenance of acc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssions, definition of Business Auxiliary Services and CBEC Circular No.59/8/2003 dated 20.6.2003, I find that the activities performed by the noticee were prima-facie for inventory management, marketing or promotion of the products of HP albeit for future purposes and for keeping business information on hand. I find that providing data and information pertaining to the supplier name, HP product ID, quantity received from supplier, customer ID, Name and Address of Customer, quantity shipped to customer, closing inventory, Site Code etc. helps HP to understand the market strategy of all products and to plan for future manufacturing of goods, marketing of their various variants of all products, demand supply of goods in any particular geogra ..... X X X X Extracts X X X X X X X X Extracts X X X X
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