2008 (6) TMI 79

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..... ive (DR) for the appellant. None for the Respondent. [Order per S.S. Kang, Vice President] - Heard learned SDR as none appeared on behalf of respondent in spite of notice. Revenue filed this appeal against the impugned order, whereby the Commissioner (Appeals) held that respondents are not providing any Business Auxiliary Service as bank is not the client of the respondent. The respondents are o .....

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..... sessees. In paragraph 10 of the impugned order, he refers to the definition of 'Business Auxiliary Services' by observing that the tax is on the commission received from the client. It is observed that the assessees were not getting any remuneration or fees directly from the client and, therefore, they did not satisfy the requirement of the definition of 'Business Auxiliary Services .....

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..... es that, the Banks were not discharging their service tax liability. 6. It is obvious from the reasoning adopted by the Commissioner (Appeals) that he has proceeded on totally an erroneous footing that, a bank cannot avail of 'Business Auxiliary Services' as a client. From the nature of agreements on record including the franchisee agreement in the third appeal, it is clear that the asses .....

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..... ations and after scrutiny forward them to the bank. Admittedly, for such services, they were paid commission by the bank, which was reflected in their account. Once consideration accrued to them, as against the services provided by them to the bank, by way of commission, it was hardly of any consequence how a portion of that commission, which as per the particulars provided by the Bank was given a .....

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..... hat stage? 7. We, therefore, set-aside the impugned order of the Commissioner (Appeals) in all these three mattes and remand the matters to the Commissioner (Appeals) for reconsidering of all three appeals on merit and decide them afresh, in accordance with law and in light of the observations made in this judgment. The appeals are, accordingly, allowed by way of remand. 8. In view of the above .....

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