2010 (8) TMI 576 - AT - Service Tax

Waiver of pre-deposit - Business Exhibition Service - It is a factual finding that the amounts collected by the appellant are towards rent for hiring of various stalls - the activity which is undertaken by the appellant by hiring out the facilities, prima facie, may not get covered under the definition of business exhibition services - In view of this, application for the waiver of pre-deposit of the amounts involved is allowed and the recovery thereof stayed in the above terms

Summary

Issues:
1. Stay petition for waiver of pre-deposit of Service Tax, interest, and penalty.
2. Interpretation of the definition of 'Business Exhibition Service' and 'Business Exhibition'.
3. Assessment of whether the appellant's activities fall under the definition of 'business exhibition services'.

Analysis:
The judgment pertains to a stay petition seeking the waiver of pre-deposit of Service Tax, interest, and penalty. The adjudicating authority and the first appellate authority had confirmed the demand, alleging that the appellant had collected rent from business exhibitors, thereby providing 'Business Exhibition Service' as per Section 65(105)(zzo) of the Finance Act, 1994. Upon reviewing the submissions and records, the Tribunal examined the definitions of 'Business Exhibition Service' and 'Business Exhibition' as provided in the Finance Act, 1994. 'Business Exhibition Service' refers to services provided to an Exhibitor by the organizer of a business exhibition, while 'Business Exhibition' encompasses exhibitions conducted to market, promote, advertise, or showcase products or services for business growth.

The Tribunal noted that the learned Commissioner (Appeals) had found that the appellant did not conduct the exhibitions themselves but only provided the necessary facilities, with amounts collected being for stall rentals. Considering this factual finding, the Tribunal opined that the activity of hiring out facilities by the appellant may not align with the definition of 'business exhibition services'. Consequently, the Tribunal allowed the application for the waiver of pre-deposit of the amounts involved and stayed the recovery. The decision was pronounced and dictated in open court, providing relief to the appellant in this matter.