TMI Blog2018 (2) TMI 1896X X X X Extracts X X X X X X X X Extracts X X X X ..... e of KINETIC COMMUNICATIONS LTD. VERSUS COMMISSIONER OF CENTRAL EXCISE, PUNE-I [2016 (2) TMI 1044 - CESTAT MUMBAI] in which the Tribunal has set aside the demand for service tax under above category. Appeal allowed - decided in favor of appellant. - Application No. ST/ROA/20514/2017 in Appeal No. ST/28559/2013-DB - Final Order No. 20271/2018 - Dated:- 16-2-2018 - S/Shri S.S. Garg, Member (J) And V. Padmanabhan, Member (T) Ms. Nisha Bineesh, Advocate, for the Appellant. Dr. Ezhilmathi, Joint Commissioner (AR), for the Respondent. ORDER Per: V. Padmanabhan, Member (T) Miscellaneous Application has been filed by the appellant for restoration ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ecord and heard both sides. The Revenue has charged service tax on the hire charges collected by the appellant for hiring cranes to its customer We have perused a copy of the agreement entered into by the appellant with its customer. In the agreement for providing the equipment for use, clause 5 is reproduced below, for ready reference :- 5. Possession : The owner shall give legal possession of the equipments to the 'USER' and 'USER' shall have the effective control of the equipments and shall run the equipments by his own suitably trained persons, maintain the equipments, and meet the cost of such maintenance. This clause of the agreement makes it clear that the appellant has handed over legal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ribunal has set aside the demand for service tax under above category. In the above case, the Tribunal has observed as follows:- 7. It is seen from the records that there is no dispute as to the fact that the capital goods are in the possession of the lessee and is being used by him for the intended purpose without any interference or hurdle from the appellants. On going through the clauses of agreement, as produced before us, we find that the appellants had handed over the capital goods' possession to the lessee as also the right to use. These two important factors that determine the requirement as to whether the service is a taxable service or otherwise under supply of tangible goods for use services'. We find stron ..... X X X X Extracts X X X X X X X X Extracts X X X X
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