9911796707
TMI Blog2014 (8) TMI 96X X X X Extracts X X X X X X X X Extracts X X X X ..... Rs. 21,79,28,167/- along with interest thereon on the appellant, M/s. Suzlon Energy Ltd. and also imposing penalties under the various provisions of the Finance Act, 1994. Aggrieved of the same the appellant is before us. 3. The learned counsel for the appellant submitted that the appellant had an agreement with their foreign counterparts for development and supply of various services including design and drawing services. The agreement also envisaged transfer of technology so that these could be used in the manufacture and supply of the various products by the appellant in India. These agreements also provided for sale of the intellectual property rights contained in the various products that have been supplied. In other words, the trans ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Textile Industries Ltd. vs. Commissioner of Customs 2000 (117) ELT 241; Associated Cement Companies Ltd. vs. Commissioner of Customs 2001 (128) ELT 21 (SC) and few other decision. In these decisions, it has been held by the appellate Tribunal and also by the hon'ble apex Court that if the liability to Customs duty has been discharged including the value of the services rendered, the same transaction cannot be held liable to service tax under IPR services or Consulting Engineering Services. Therefore, the ratio of these decisions would apply squarely inasmuch as the import of drawings and designs have been subject to customs duty taking the whole consideration paid by the appellant and the same transaction cannot be once again treated a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... consideration paid as value for the purpose of customs duty and the customs duty liability has been discharged accordingly. Therefore, the entire transaction was treated as supply of goods for the purpose of customs duty and if that be so, we do not understand how the very same transaction can be treated as supply of service and levy of service tax can be made on the entire value of transaction once again. We also find merit in the contention of the appellant that the entire transaction is one of transfer of technical know-how inasmuch as R&D cess under Section 3 of the R&D Cess Act has been paid and therefore the transaction does not merit to be treated as 'design services'. We also note the contention of the appellant that the design ..... X X X X Extracts X X X X X X X X Extracts X X X X
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