TMI Blog2018 (9) TMI 1211X X X X Extracts X X X X X X X X Extracts X X X X ..... e, they are not liable to pay service tax. As the assessees are providing service in respect of operation of computer systems, the same is not covered under Business Auxiliary Service, therefore, they are not liable to pay service tax. Demand set aside - appeal allowed - decided in favor of appellant. - Appeal No. ST/371-375/2009, ST/499-503/2009 - A/62832-62841/2018-CU[DB] - Dated:- 31-8-2018 - Mr. Ashok Jindal, Member (Judicial) And Mr. Anil G. Shakkarwar, Member (Technical) Shri. Sudhir Malhotra, Shri. Poojan Malhotra, Advocates- for the Assessee Shri. Tarun Kumar, AR- for the Revenue ORDER Per Ashok Jindal: Both sides are in appeal against the impugned orders. 2. The brief facts of the case are that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 9.2004 to Section 65(19) of the Finance Act, 1994, wherein the Information Technology Service was excluded from the Business Auxiliary Service and no service tax was leviable thereon, therefore, the impugned order qua demanding service tax is to be set aside. 4. Heard the parties and considered the submissions. 5. On careful consideration submissions made by both the sides, the services provided by the assessee s are not in dispute which are in nature of providing service on behalf of the principle of Information Technology Service. The assesses were receiving certain commission and same is sought to be tax as Business Auxiliary Service in terms of Section 65(19) of the Finance Act, 1994. 6. For better appreciation, the provisions ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... stems. 7. On going through the explanation to the Section 65 (19) of the Finance Act, 1994 the Information Technology Service means any service in relation to designing, developing or maintaining of computer software or computerized data processing of system networking or any other service primarily in relation to operation of computer systems. 8. On going through the agreement between eBIZ and the assessees, the activity undertaken by the assessees involved the promotion or marketing of the service of eBIZ and getting commission from the eBIZ of the same as the service provided by the assessees in relation to the operation of computer systems. In that circumstances, the assessees are covered by the explanation to Section 65(19) ..... X X X X Extracts X X X X X X X X Extracts X X X X
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