2014 (8) TMI 341

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..... gent. However, in majority of the deals Revenue has accepted that they were out-rightly purchasing and selling the goods but have contended that in some cases they have acted as commission agent. However, there is virtually no evidence on record to show that the respondent acted as commission agent. The allegation made by the Revenue is only a bald allegation without support of the evidence - Deci .....

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..... s under:- 4.2 I observe that the demand of service tax has been raised and confirmed on the grounds that the appellants have received an amount of ₹ 46,22,429/- from M/s PACL as commission/discount. The appellants vide their letter dated 10.05.2010 have submitted that their income was on account of discounts namely quantity discount, cash discount, rate difference discount et .....

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..... een the appellant and PACL is not present in this case which is the basic requirement for charging service tax. I agree with the contention of the appellant that the major part of amount received by them from PACL was quantity discount based upon the quantity of goods purchased. Trade discount, quantity discounts are widely accepted trade practices. In fact, it is evident from the documents/rec .....

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..... the supplier i.e. PACL to the buyer. The appellant is raising his own invoices after adding his profit to the purchase price and collecting payment from the buyer as per sale price and then makes payment to M/s PACL. The evidence submitted by the appellant No.1 are sufficient to establish that there existed a relationship of buyer and seller between appellant and M/s PACL and not that of service r .....

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..... t they were out-rightly purchasing and selling the goods but have contended that in some cases they have acted as commission agent. However, we note that there is virtually no evidence on record to show that the respondent acted as commission agent. The allegation made by the Revenue is only a bald allegation without support of the evidence. 5. We further note that the various documentary evide .....

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