TMI Blog2018 (4) TMI 777X X X X Extracts X X X X X X X X Extracts X X X X ..... n/public authorities performed under the statute can be considered as provision of service, for purpose of levy of Service Tax. In S.No.999.01, circular has clarified that any fee collected as per the provisions of the relevant statute for performing mandatory and statutory functions under the provisions of any law are not to be treated as services provided for consideration. The activities of the appellant, are to be seen in the context of Wilde Life Protection Act as well as Rules - Forest Department has the mandatory duty to protect the environment and to safeguard forests and wild life - This cannot be considered as consideration for purposes of organizing tour. Demand set aside - appeal allowed - decided in favor of appellant. - ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ve background, we heard Shri Jatin Mahajan, Advocate for the appellant as well as Shri Sanjay Jain, DR. 3. The ld Advocate argued the case of the appellant and his arguments are summarized below: i) The appellant is a Department of the Govt. of Rajasthan. He denied that the appellant was acting as a Tour Operator. ii) Prior to 01.10.2008, the activity relating to restricting the entry of tourists as well as vehicles in Ranthambore National Park was being done by of Rajasthan Tourism Development Corporation on behalf of the Forest Department. W.e.f. 01.10.2008, the said work was being done by the Forest Department. iii) The Forest Department was performing the sovereign function of protecting and improving the environment and to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ii) Lastly, he submitted that CBEC has clarified that charges recovered by any sovereign/public authority for carrying-out any statutory function will not be liable for Service Tax. 4. The ld DR justified the impugned order. He argued that State Forest Department had made arrangements for supply of vehicles to tourists for going around the National Park and has recovered amounts towards the same. He submitted that this activity is covered within the definition of Tour Operator and hence liable for payment of Service Tax. 5. Heard both sides and perused the record. 6. The facts of the case are that Rajasthan Department of Forests were collecting certain amounts from the tourists and making available vehicles on rent for safari tour ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rganized or arranged for use by an educational body than a commercial training or coaching centre, imparting skill or knowledge or lessons on any subject or field; 8. It is to be noted that the definition prior to 16.05.2008 as well as subsequent to that date is applicable to any person engaged in the business of planning, scheduling, organizing or arranging tours. 9. The main argument advanced by the appellant against such levy of Service Tax is that it is a department of the State Govt. of Rajasthan and is not engaged in the business of operator tour. It has further been submitted that all activities carried-out by the department in the Ranthambore National Park is towards discharging the constitutional mandated under Act 48A which ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... redited to the account of the State Govt. after reimbursing the vehicle owners towards the rent payable for such vehicles. The above activities of the appellant, are to be seen in the context of Wilde Life Protection Act as well as Rules. We are of the view that Forest Department has the mandatory duty to protect the environment and to safeguard forests and wild life. Amounts recovered by them towards issue of entry permits as well as vehicles which have also been credited to the State Treasury are to be considered in the nature of fee or amount collected as per the provisions of relevant statute for performance of statutory functions. This cannot be considered as consideration for purposes of organizing tour. 13. In view of above discus ..... X X X X Extracts X X X X X X X X Extracts X X X X
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