9911796707
TMI Blog2004 (11) TMI 5X X X X Extracts X X X X X X X X Extracts X X X X ..... jurisdiction of the Authority, vide sub-section (2) of the said section, and has arisen in the backcloth painted in the following sub paras.- 1.2 The applicant proposes to set up an international call centre in India in collaboration with Gemini Pacific Group LL.C , an American company formed under the Limited Liability Company Law of the State of Delaware . 1.3 It has been submitted on behalf of the applicant that the main business activity of the proposed international call centre would be to sell various products manufactured by the producers of foreign countries to the potential custome ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s relied on the Notification No. 8/2003-ST dated 20-6-2003 issued by the Central Government and the Circular No. 56/5/2003 dated 25-4-2003, issued by the Central Board of Excise and Customs ( Board ). They read as under: Notification No. 8/2003-ST [F.No. B3/7/2003-TRU], dated 20-6-2003 In exercise of the powers conferred by section 93 of the Finance Act, 1994 (32 of 1994), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts the taxable services provided, by a call centre or a medical transcription centre, to a client from the whole of the service tax leviable thereon under sub-section (2) of section 66 of the said Act. Explanation. - For the purposes of this notification,- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s would continue to remain tax-free even after withdrawal of notification No. 6/99 dated 9-4-1999. Further it is clarified that service consumed/ provided in India in the manufacture of goods which are ultimately exported, no credit of service tax can be availed or reimbursed at present as inter-sectoral tax credit between services and goods are not allowed. 4. Another question raised is about the taxability of secondary services, which are used by the primary service provider for the export of services. Since the secondary service ultimately gets consumed/ merged with the services that are being exported no service tax would be leviable on such secondary services. However in case where the secondary service gets consumed in part or toto ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion is Yes, then, the further question for Advance Ruling before the Hon'ble Bench is placed as under :- (ii) Whether the service tax paid by the primary service provider dealing in 100% export of services, on the bills raised by the secondary service provider, would be entitled for refund, if yes, how and in which manner? AND (iii) Whether the refund of service tax paid on secondary services by the primary service provider of 100% exports of services would also entitle the primary service provider for interest/any other compensation on such amount, which prima facie was not payable. 2. The jurisdiction of the Authority to pronounce its advance ruling is circumscribed by sub-section (2) of section 96C of the Finance A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... exclusively based on the above-quoted Circular dated 25-4-2003 and no statutory provision or notification issued under Section 93 of the Finance Act, 1994, has been pointed out in support of the said plea. The Notification dated 20-6-2003 is not relevant to the issue of the exigibility of the secondary services to service tax. 6. It needs no elaborate reasoning to conclude that the circular issued by the Board cannot be termed as a notification issued under Chapter V of the Finance Act, 1994, the subject-matter of clause (d). Chapter V of the Finance Act, 1994 contains 30 Sections: Sections 64 to 96; Section 83 makes applicable in relation to service tax certain provisions of the Central Excise Act, 1944; Section 12 of the Central Ex ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
