TMI Blog2018 (5) TMI 1679X X X X Extracts X X X X X X X X Extracts X X X X ..... iness auxiliary service - appeal allowed - Decided in favor of appellant. - Service Tax Appeal No. 54372 of 2014 - Final Order No. 52016/2018 - Dated:- 25-5-2018 - Hon ble Shri C.L. Mahar, Member ( Technical ) And Hon ble Shri Ajay Sharma, Member ( Judicial ) Ms. Priyanka Goel, Advocate for the appellant Shri A. K. Singh, Authorized Representative (DR) for the respondent ORDER Per. C.L. Mahar The brief facts of the matter are that the appellant are selling vehicles of M/s Tata Motors to various customers and they are getting such vehicles registered with the local RTO on behalf of customers, for facilitating the customers, with regard to getting the vehicle registered with the RTO and to cover other minor expend ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... utomotive Pvt. Ltd. vs. CC CE - 2016 (43) S.T.R. 397 (Tri. Mumbai) has held that helping the purchases of with the registration with the RTO cannot be considered as an activity under Business Auxiliary Service and, therefore, service tax cannot be demanded on the amount retained by the appellant in respect of RTO registration fee. The relevant paras of the abovementioned decision of this Tribunal are as follows :- 4. Learned departmental representative on the other hand could submit that the Service Tax liability on the amount of RTO fees is the amount which is collected over and above the actual charges paid to RTO authorities. It is his submission the said amount for registration of the vehicle of the client received from the pur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... recovery of cheques, accounts and remittance, evaluation of prospective customer and public relation services, and includes services as a commission agent, but does not include any information technology service. Explanation. - For the removal of doubts, it is hereby declared that for the purposes of this clause, information technology service means any service in relation to designing, developing or maintaining of computer software, or computerized data processing or system networking or any other service primarily in relation to operation of computer systems; After 10-9-2004 Business Auxiliary Service means any service in relation (19) to, - (i) promotion or marketing or sale of goods produced or provide ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sidered by Business Auxiliary Service, in view of the foregoing, we hold the Service Tax demand of the amount retained by the appellant in respect of RTO registration fees is not sustainable. The impugned order is set aside. This Bench in the case of Wonder Cars Pvt. Ltd. v. Commissioner of Central Excise, Pune-I - 2016-TIOL-190- CESTAT-MUM = 2016 (42) S.T.R. 1055 (Tri.-Mum.), has held that amount collected as extra charges for RTO registration is not covered under support services of business and commerce . 8. In view of the foregoing, the Service Tax liability confirmed under Business Auxiliary Service for the amount of RTO registration fees is not maintainable. As regards the penalty imposable, we find the Service Tax liability of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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