9911796707
TMI Blog2013 (7) TMI 349X X X X Extracts X X X X X X X X Extracts X X X X ..... chargeable service: clearing and forwarding agency service enumerated in Section 65(105)(j) of the Finance Act, 1994 (the Act). The assessee Kulcip Medicines (P) Ltd. entered into an agreement with M/s Cipla for handling and distribution of their products and was entrusted with the task of operations pertaining to receiving, storing and distribution of Cipla products to authorised stockists and distributing centres. For the services rendered the assessee received commission based on an agreed percentage of sales and reimbursement of expenditure incurred. The assessee was assessed to service tax. An unproductive appeal followed. The assessee preferred a further appeal to this Tribunal which was allowed. This Tribunal held that to attract ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t (para 9.1) and explaining that clearing and forwarding operations would be various activities having a bearing on clearance of goods and would normally involve documentary processes and arrangements for transfer of goods to their destination; and may also involve clearance at subsequent stages during forwarding operations, this Tribunal identified the range and nature of operations that are undertaken by clearing and forwarding agents (para 9.2); noticed the clearing and forwarding operations, as spelt out in paragraph 2.2 of Trade Notice No. 87/97/10/Service Tax/97 of the Madurai-2 Commissionerate dated 14, July 1997, wherein it was observed that normally there was a contract between the principal and the clearing and forwarding agent ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aning any person who is engaged in providing any service, either directly or indirectly, connected with the clearing and forwarding operations in any manner to any other person and includes a consignment agent. 5. On the admitted factual scenario in this appeal, the appellant / assessee neither receives goods from the factory premises of the principal; warehouses such goods; receives despatch orders from the principal; arranges despatch of goods as per directions of the principal by engaging a transport on its own or through authorised transporters of the principal; nor maintains records of the receipt and despatch of goods and the stock available at the warehouse; nor even prepares invoices on behalf of the principal. The activities of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of picture tubes or manufactures of TV sets; and does not maintain records of the receipt and despatch of picture tubes and the stock available at the warehouse; nor prepares invoices either on behalf of the principal manufacturers or manufacturers of TV sets. 7. In the light of the judgment of the Punjab & Haryana High Court in Kulcip Medicines (P) Ltd., there is neither the conjunctive service of clearing and forwarding provided by the assessee nor either of the services of clearing or forwarding. In the light of the decision of the full Bench of this Tribunal in Larsen & Toubro Limited, as the assessee has not provided any of the core enumerated activities of clearing and forwarding operations, it has not directly or indirectly provided ..... X X X X Extracts X X X X X X X X Extracts X X X X
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