TMI Blog2018 (7) TMI 1003X X X X Extracts X X X X X X X X Extracts X X X X ..... , as is equal to the value of the goods and materials sold by the service provider to the recipient of service; hence, the service tax is leviable thereon under Section 66 of the said Act, subject to the condition that there is documentary proof specifically indicating the value of the said goods and materials - The only requirement in terms of the Notification is to provide documentary evidence proof indicating the value of said goods and materials. There is no requirement to indicate value separately in each invoice, this Bench would not be in a position to decide on the issue of whether or not any documentary evidence is in existence to show the value of goods and articles supplied by the respondents in course of rendering service to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... w-cause notice was issued by Additional Commissioner of Service Tax and on an appeal filed by the respondents, the Commissioner (Appeals) has set aside the order of Additional Commissioner on the grounds that: (i) Rule 6 applies only when the appellant is rendering the taxable as well as exempted services. In the instant case, the respondent is only claiming exemption of cost of materials used in providing a particular service as per Notification. The respondents are not rendering taxable and exempted services. (ii) Even though details of materials and services provided are not maintained specifically in each invoice, the appellants were maintaining the percentage of cost of material and service as 75:25 in each invoice. They have pro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o indicate the cost of goods and material supplied in the course of rendering a service specifically in the invoices. We find that the Notification No. 12/2003 ST dated 20.06.2003, inter alia, exempts so much of the value of all taxable services, as is equal to the value of the goods and materials sold by the service provider to the recipient of service; hence, the service tax is leviable thereon under Section 66 of the said Act, subject to the condition that there is documentary proof specifically indicating the value of the said goods and materials. 5.1 The Bench in the case of Adlabs (supra) has clearly opined that: 3. On a careful consideration, we notice that the Commissioner was not justified in taking the view, in contra to t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e. The said CA certificate only certified the ratio without mentioning as to any verification was conducted of the documents which indicate such value to arrive at the ratio. To this extent the findings of the Order-in-Original were not appreciated by the Commissioner (Appeal). 5.3 It is seen that Commissioner (Appeal) has also erred in adopting the ratio of Hon ble Supreme Court judgment in the case of BSNL (Supra). The issue discussed in that case by Hon ble Supreme Court was the applicability of service tax to the sale of telephone while fixing a connection. Therefore, it is not applicable to the present case. 5.4 Learned Commissioner (Appeal) has found that Assistant Commissioner of Central Excise, Hubli vide Order-in-Original ..... X X X X Extracts X X X X X X X X Extracts X X X X
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