TMI Blog2019 (1) TMI 1172X X X X Extracts X X X X X X X X Extracts X X X X ..... of these charges in the taxable value for air travel service by the appellants - demand set aside - appeal allowed - decided in favor of appellant. - Service Tax Appeal No. 50119 of 2016 - FINAL ORDER NO. 50054/2019 - Dated:- 3-1-2019 - Mr. Justice Dilip Gupta, Member (Judicial) And Mr. C L Mahar, Member (Technical) Shri Sanjeev Jain, Shri Anil Makhija, Advocates for the Appellants Shri R K Majhi, AR for the Respondent ORDER Per: C L Mahar: Brief facts of the matter are that the appellants are engaged in the business of operating airlines services and providing the service of Transport of passengers embarked in India for domestic journey or international journey by air services to their clients. They are ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lready been decided by this Tribunal vide final Order No. 57798-57803/2017 dated 10.11.2017 in the case of M/s. Royal Jordanian Airlines and others vs. CST, Delhi. The relevant extract of the above judgment is reproduced below: 5. We have heard both the sides and perused the appeal record. We note that on the issue of tax liability on the charges collected by the airlines as PSF and other taxes, the Tribunal had occasion to examine the same issue in respect of various international airlines. As rightly pointed out by the appellants that in the case of Continental Airlines order dated 02/07/2015 (2015 TIOL 1481 CESTAT DEL), Lufthansa Airlines, order dated 31/03/2016, KLM Royal Dutch Airlines order dated 04/08/2016, United Airl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cision. The same provides for Authority to charge fee, rent, etc. The Authority may with the previous approval of the Central Government charge fee or rent for providing various services in the airport. These services may be in the nature of landing, parking of aircrafts, air flight services, amenities given to the passengers, etc. In effect, these charges are with reference to facilities provided by the Airport Authority to the operators of Airlines in connection with their operation or to the passenger, which in any case, is also relatable to their travel. In other words, the persons availing the facilities in airports are the passengers, who are in the process of either inward or outward air travel. The appellants are issuing tickets for ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lant is collecting service tax along with PSF and such arrangement is not within the scope of Finance Act, 1994, we note that these aspects have not been alleged or adverted in the show cause notice or by the Original Authority while recording findings against the appellant. As contested by the appellant, the reasons, which are not forming part of the proceedings before the lower authorities, cannot be taken up afresh for factual verification, at this stage. However, it is open to the Original Authority to verify the records in order to satisfy that the service tax attributable to the PSF has in fact been remitted to the Government. 11. In view of the above discussions and analysis and following the decision of this Tribunal in the ap ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
