TMI Blog2019 (4) TMI 1538X X X X Extracts X X X X X X X X Extracts X X X X ..... specified service. There is no warrant for reading therein requirement of profit motive. Thus, the respondent will be liable to payment of Service Tax along with interest under the category of Security Agency Service - however, the respondent deserves the benefit of waiving of penalty subjected to the condition that the Service Tax is paid along with interest - appeal allowed in part. - Appeal No. ST/139/2008 - FO/77012/2018 - Dated:- 26-11-2018 - SHRI P. K. CHOUDHARY, MEMBER (JUDICIAL) And SHRI V. PADMANABHAN, MEMBER (TECHNICAL) None for the Appellant (s) Shri S. Mukhopadhyay, Suptd. A. R. for the Revenue ORDER Per Bench The present app ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ust, was not formed with a profit motive but is of the charitable nature. By taking the view that the respondent was not a commercial concern; Adjudicating Authority held that no Service Tax will be liable to be paid on the amounts received. 5. The findings of the Adjudicating Authority have been challenged by the Revenue in the present proceedings. 6. Heard Shri S. Mukhopadhyay, Ld. DR for the Revenue. 7. He submitted that the respondent is a security agency as defined in Section 65 (94), as prevalent during the period of dispute. He cited the decision of the Hon ble Punjab and Haryana High Court in the case of Punjab Ex-Servicemen Corporation Vs. Union of India reported in 2012 (25) S.T.R. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 5. We are unable to accept these submissions. As regards absence of profit motive, we find that the charging provision under Section 68 of the Act provides for levy of service tax on the value of taxable service on every service provider. Value of taxable service has been defined under Section 67 to be gross amount charged by the service provider as consideration. There is no requirement that the service provider should provide service for profit motive. 6. In the definition of security agency under Section 65(94), security agency is defined as a commercial concern engaged in business of rendering services relating to security of property of persons. Learned counsel submitted that the expression business ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... te depended upon the legislative intent as expressed in the statutory scheme. 9. In Sai Publication Fund, as per statutory scheme under Bombay Sales Tax Act, 1959, the definition of dealer under Section 2(11) required profit motive. It was held that if in predominant activity, profit motive was absent, incidental business of such an assessee was excluded. As per definition of security agency under Section 65(94) service provider should be engaged in the business rendering specified service. There is no warrant for reading therein requirement of profit motive. The word business would denote that service should not be gratis or casual but for consideration and as regular activity. 10. In the light of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
