2013 (10) TMI 90

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..... sportation activity is predominantly done outside. Canvassing of cargo is done in India. So taxability of both the activities are to be treated differently. So the argument that there cannot be a Business Auxiliary Service for a non-taxable service may not be applicable to the instant case. We find that in this case the service is taxable but exempted. In the other cases relied upon by the advocate, there were other elements like, CHA service, ocean freight service etc. involved. Therefore the facts are not identical - applicant to make a pre-deposit of 50% of the tax demanded - stay granted partly.
Shri P. K. Das and Shri Mathew John, JJ. For the Appellant : Smt. Radhika Chandrasekhar, Advocate For the Respondents : Shri K.S.V.V. Pras .....

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..... ew of exemption notification 29/05-ST. Therefore, she submits that auxiliary services to such an exempted services should also be exempted. She basically submits that the difference in freight cannot be taxed. Therefore, she prays that the appeal may be admitted without pre-deposit. 4. Opposing the prayer, Ld. AR for Revenue submits that the applicants are paid commission for certain specified routes. On some routes, they are operating on the basis of specific rate for space with freedom to canvass cargo by charging higher rates from customers. He points out that the demand is in respect of those cases where the agreement provides space at fixed rate with liberty to canvass clients for the space at higher rate. He submits that applicant is .....

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..... ice of canvassing air cargo which is actually a taxable service though exemption is provided in respect of export cargo. Transportation activity is predominantly done outside. Canvassing of cargo is done in India. So taxability of both the activities are to be treated differently. So the argument that there cannot be a Business Auxiliary Service for a non-taxable service may not be applicable to the instant case. We find that in this case the service is taxable but exempted. In the other cases relied upon by the advocate, there were other elements like, CHA service, ocean freight service etc. involved. Therefore the facts are not identical. The decision of Excel India Pvt. Ltd. (supra) is prima facie more applicable to the facts of this cas .....

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