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TMI Blog2014 (5) TMI 689X X X X Extracts X X X X X X X X Extracts X X X X ..... /s. Kesar Petro Products Ltd., Ratnagiri, were appointed as Del Credre Agents to organize, propagate, advertise, promote and effect the sale of the products, i.e., Linear Alkyl Benzene (LAB) manufactured by M/s. Reliance Industries Ltd., Patalganga. The agreement, inter alia, provided for collection of sale proceeds and remitting the same to M/s. Reliance Industries Ltd. (RIL) and in case of non-collection within the credit period from the customers, the appellant as Del Credere Agent was liable to remit sale proceeds along with interest. For the services rendered, a commission @ Rs. 600/- per MT was to be paid by RIL. The agreement also included a clause wherein it was provided that the respondent shall, at the request of RIL, submit a mar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... p;In their appeal memorandum, it is submitted that as per the agreement entered into between the respondent and RIL, there is a provision for conducting of market report or survey by the respondent at the request of RIL and therefore, the respondent has rendered the services of a Market Research Agency which is liable to Service Tax. Ld. Deputy Commissioner (AR) appearing for the Revenue reiterates the findings of the adjudicating authority. 4. None appeared for the Respondent. In their cross objection the Respondent submits that the services rendered by the respondent is that of Del Credre Agent and the said services are rightly classifiable under Business Auxiliary Service which was brought into the tax net in the budget 2003 wherea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... p;We have carefully considered the submissions made by both the sides. 5.1 From the agreement entered into by the respondent with RIL, it is clear that the respondent has been appointed as Del Credere Agent and has undertaken the functions of a Del Credere Agent for which the commission has been paid. No doubt, the agreement includes a clause that at the request of the Principal, they shall also undertake market survey. However, from the facts recorded by the lower appellate authority, it is clear that the respondent has not undertaken any such activity even though the agreement provided for the same. Even otherwise, when a number of services are rendered, for the purpose of classification, the principal service which gives the essent ..... X X X X Extracts X X X X X X X X Extracts X X X X
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