TMI Blog2018 (7) TMI 1675X X X X Extracts X X X X X X X X Extracts X X X X ..... tive - taxability of service upheld. Time Limitation - penalties - Held that:- Considering the nature of organization which is charitable and considering the fact that a number of Tribunal decisions have expressed a similar view, there is no justification in invoking extended period of limitation as the appellant could have harbored a bonafide view - extended period of limitation and penalty set aside. Appeal allowed in part. - ST/98/2009-DB - Final Order No. A/11483/2018 - Dated:- 25-7-2018 - Mr. Ramesh Nair, Member (Judicial) and Mr. Raju, Member (Technical) Shri H.D. Dave, Advocate for the Appellant Shri S.N. Gohil Superintendent (AR) for the Respondent ORDER Per : Raju This appeal has been filed by Gujar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... appellant are engaged in the business of providing security service to various clients and retained 15% of the total amount received from the clients and balance 85% is transferred to various employee/ security guards. The fact that appellant are using this 15% amount retained by them for the administrative purposes and for training of security courses, is not in dispute. The appellant relied on various Tribunal decisions on the issue where it has been held that charitable activities cannot be considered as Commercial in nature and thus liability to service tax has been set-aside. However, Revenue has relied on the decision of Hon'ble Punjab Haryana High Court in the case of Punjab Ex-servicemen Corporation (supra) where this issue ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iew of the High Court. A person to be a dealer must be engaged in the business of buying or selling or supplying goods. The expression business though extensively used is a word of indefinite import, in taxing statutes it is used in the sense of an occupation, or profession which occupies the time, attention and labour of a person, normally with the object of making profit. To regard an activity as business there must be a course of dealings, either actually continued or contemplated to be continued with a profit motive, and not for sport or pleasure. 8 . In State of T.N. v. Board of Trustees of the Port of Madras, (1999) 4 SCC 630, it was held that whether profit motive was essential ingredient in a particular taxing statute depen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ly to all legal proceedings brought after their operation for enforcing causes of action accrued earlier, but they are prospective in the sense that they neither have the effect of reviving a right of action which is already barred on the date of their coming into operation nor do they have the effect of extinguishing a right of action subsisting on that date. 11. In view of above, no substantial question of law arises. 12. The appeal is dismissed. Relying on the said decision of the Hon'ble High Court, we uphold the view of the Revenue regarding taxability of the said service. 5. The second issue relates to limitation and imposition of penalties. We find that the appellant had produced various decisions of Tribunal ..... X X X X Extracts X X X X X X X X Extracts X X X X
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