2018 (1) TMI 649 - AT - Service Tax

Benefit of N/N. 14/2004 dated 10.09.2004 - whether the education service is exempted from the BAS? - Held that - it appears that N/N. 14/2004 dated 10.09.2004 provides the exemption for the activities in relation to agriculture, printing and textile processing or education - From the agreement between the Education Board Chhattisgarh Madhyamik Shiksha Mandal and the appellant, it appears that the service is rendered by the appellant are in relation to education which is exempted from the service tax as per the N/N. 14/2004 dated 10.09.2004 - appeal allowed - decided in favor of appellant.

Summary

Issues:
Service tax exemption for education services under Business Auxiliary Service (BAS).

Analysis:
The appeal was filed against an order-in-original passed by the Commissioner of Service Tax regarding the imposition of service tax under BAS for services provided in relation to education by the appellant. The appellant was engaged by an educational board for various examination-related work. The appellant contended that education services are exempt from BAS. The Revenue, on the other hand, relied on the impugned order. The Tribunal referred to Notification No. 14/2004, which provides exemptions for activities related to agriculture, printing, textile processing, or education. The Tribunal noted that the expression "in relation to" has been defined broadly by the Supreme Court in previous cases. After examining the agreement between the educational board and the appellant, the Tribunal concluded that the services provided were indeed "in relation to" education, thus falling under the exemption category specified in the notification. Consequently, the impugned order was set aside, and the appeal filed by the appellant was allowed.