TMI Blog2018 (2) TMI 18X X X X Extracts X X X X X X X X Extracts X X X X ..... le after 10.09.2004 - however, prior to 18.04.2006, the demand unsustainable as per decision laid down in the case of Indian National Shipowners Association [2008 (12) TMI 41 - BOMBAY HIGH COURT] - appeal dismissed - decided against Revenue. - ST/00005/2009 - 42801/2017 - Dated:- 12-10-2017 - Smt. Sulekha Beevi C.S, Member (Judicial) And Shri Madhu Mohan Damodhar, Member (Technical) For the Appellant, Shri S. Govindarajan, AC (AR) For the Respondent, Shri K.S. Venkatagiri, Adv. ORDER Per: Bench The brief facts of the case are that respondents M/s. Fenner India Ltd, [hereinafter referred to M/s. FIL ] entered into a Trade Mark and Name agreement with M/s. Fenner U.K. on 17.08.2004. As per the agreement, the re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uted period, when Intellectual Property Services have became taxable services. Though, the agreement is dated prior to 10.09.2004, the rights arising out of the agreement being a continuous one, the appellant is liable to pay service tax on the royalty paid to the foreign company for the trade mark under the reverse charge mechanism. 4, On behalf of the respondent, the learned counsel K.S. Venkatagiri defended the impugned order and submitted that the Commissioner (Appeals) has rightly set aside the demand. The agreement was entered on 17.08.2004 and the amounts/royalty was paid by the appellant prior to 10.09.2004. The issue whether the Intellectual Property Service can be held to be a continuous one beyond the date of agreement was ana ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nalyses as made in the above two decisions are applicable to the present case. Here the agreement for grant of license or transfer/permission to use technology was effected before 10-9-2004. The fact that M/s. DHPL continued to manufacture and sell using such transferred technology even after the introduction of service tax on IPR cannot be considered as continuous supply of service. The rendering of service is effectively determined by the date of transfer/ permission to use technology by M/s. Denso, Japan which was prior to the introduction of tax liability on such service. 7. Further it has also to be taken note that prior to 18.04.2006, the demand unsustainable as per decision laid down in the case of Indian National Shipowners A ..... X X X X Extracts X X X X X X X X Extracts X X X X
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