2010 (10) TMI 908 - SC - Service Tax

The word Commercial qualifies the commercial coaching or training centre The issues that arise for consideration in the present appeal are similar with that of the aforesaid appeals which was decided by Three Judges Bench of this Court. While allowing the appeal filed by the Commissioner of Sales Tax Chennai the Three Judges referred to the newly inserted Explanation in Section 65(105)(zzc) of Finance Act 1994 by Finance Act 2010 which was made effective from 1st of July 2003?

Summary

Issues involved: Consideration of newly inserted Explanation in Section 65(105)(zzc) of Finance Act, 1994 by Finance Act, 2010; Setting aside Tribunal's order and remitting the matter back for fresh consideration.

Analysis:

The Supreme Court, comprising Dr. Mukundakam Sharma and Mr. Anil R. Dave, JJ., addressed the issue of the newly inserted Explanation in Section 65(105)(zzc) of the Finance Act, 1994 by the Finance Act, 2010. The Court noted that similar issues had been considered in a previous judgment by a Three Judges Bench in Commissioner of S.T. Chennai v. Great Lakes Institute of Management Ltd. The Three Judges Bench had referred to the said Explanation and its implications. Consequently, the Court decided to set aside the Tribunal's order and remit the matter back for fresh consideration in light of the newly inserted Explanation in the Act.

Given the similarity of issues in the present appeal with those in the previous case, the Supreme Court ordered a similar course of action. The Court allowed the appeal and directed the Tribunal to re-examine the case de novo considering the implications of the Explanation inserted in the Act. It was explicitly stated that all potential issues that may arise should be presented and decided upon by the Tribunal afresh. This comprehensive approach ensured that the matter would be thoroughly reconsidered in light of the legal changes introduced by the new Explanation, allowing for a fair and updated assessment of the case.