2008 (12) TMI 132 - AT - Service Tax

Course of Hospitality Management Diploma - Commercial Coaching and Training - In the impugned order, the Commissioner (Appeals) has not given a proper finding. He has only recorded the finding of the lower authority that impugned course is primarily an academic course and not a vocational course - In the meantime on a subsequent occasion Commissioner (Appeals) has given finding that all the three courses including the impugned diploma are Vocational Training Course and, not subjected to Service Tax - matter should be examined by the original Authority in the light of OIA - appeal is allowed by way of remand

Summary

Issues:
- Interpretation of the definition of "Commercial Coaching and Training Service" for service tax levy.
- Exclusion of certain courses from service tax under the category of vocational training.
- Proper finding required from the Commissioner (Appeals) regarding the classification of Hospitality Management Diploma course.
- Remand of the matter to the Assistant Commissioner for further examination based on a previous order.

Interpretation of "Commercial Coaching and Training Service":
The appellant, with two institutions, faced a service tax dispute due to the Revenue's classification of services under "Commercial Coaching and Training." The appellant challenged this levy after paying the tax, particularly for the Hospitality Management Diploma course. The Commissioner (Appeals) initially did not provide a clear finding on the course's classification, leading to confusion. However, a subsequent order by the Commissioner (Appeals) clarified that the courses offered by one of the institutions were Vocational Training Courses exempt from service tax. The Tribunal, upon careful consideration, remanded the matter to the Assistant Commissioner to re-examine the issue in light of the clarified order.

Exclusion of Courses from Service Tax:
The dispute primarily revolved around the classification of the Hospitality Management Diploma course offered by one of the institutions. While the Commissioner (Appeals) did not provide a definitive finding initially, a subsequent order clarified that certain courses offered by the institution were exempt as Vocational Training Courses. This exemption led to the Tribunal allowing the appeal by remanding the matter for further examination by the Assistant Commissioner based on the clarified order.

Proper Finding Requirement by Commissioner (Appeals):
The appellant raised concerns about the lack of a proper finding by the Commissioner (Appeals) regarding the classification of the Hospitality Management Diploma course. The Tribunal acknowledged this issue and directed the original Authority to reevaluate the matter within a specified timeframe based on the clarified order issued by the Commissioner (Appeals) on a subsequent occasion. This remand was deemed necessary to ensure a comprehensive examination and resolution of the classification dispute.

Remand to Assistant Commissioner for Further Examination:
In light of the clarified order by the Commissioner (Appeals) regarding the exemption of certain courses as Vocational Training Courses, the Tribunal decided to remand the matter to the Assistant Commissioner for a thorough reevaluation within a specific timeframe. This remand was aimed at ensuring a proper examination of the classification issue concerning the Hospitality Management Diploma course, ultimately allowing the appeal by way of remand.