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TMI Blog2005 (8) TMI 10X X X X Extracts X X X X X X X X Extracts X X X X ..... 98 : (1) The responsibilities of BCC will be to coordinate with all agents and branch offices and assess the working of each branch/agent territory-wise. (2) Assist in appointing/training marketing/service staff. (3) Train the Head office marketing staff for coordinating with the branch office and agents. BCC will also conduct special sales promotion programs in new areas/territories. (4) Conduct all India surveys for STILL & DEXION range of products. (5) Educate/train the staff of MMM/agents/branch offices for sale/service of the STILL/DEXION products all over India. (6) Plan/Coordinate advertising campaigns. (7) Coordinate with STILL Singapore/DEXION, UK for negotiations/finalization of orders against last projects/contracts. (8) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3,350/- against M/s. BCC under Section 73(2) of the Act and imposed on them penalties under Sections 75A, 76 and 77 of the Act. The first appellate authority upheld the decision of the lower authority in so far as Manpower Recruitment Agency and Market Research Agency services were concerned. As regards Management Consultancy, the appellate authority found that the MOU did not indicate that M/s. BCC rendered any such service to M/s. MMM. The lower appellate authority remanded the case to the original authority for re-quantification of the demand of tax, after setting aside the penalties. The party is still aggrieved by the order of the lower appellate authority. It is submitted by the learned Counsel for the appellants that all the services ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... market research agency service. According to learned Counsel, the service of conducting market surveys in India for the products of M/s. MMM was nothing other than "evaluation of prospective customer", one of the services envisaged under "business auxiliary service". Leaned Counsel has made an endeavour to show that the service of "assisting in appointing/training marketing/service staff" vide the second service in the list of services is not manpower recruitment agency service. It is pointed out that the structure of assignment fee given in the MOU has nothing to do with manpower recruitment agency service. Thus, it is the learned Counsel's argument that there is no valid reason for treating any of the services listed in the MOU as manpow ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... service" and "market research agency service". Manpower recruitment agency service means "any commercial concern engaged in providing any service directly or indirectly in any manner for recruitment or manpower to a client". As rightly found by the Commissioner (Appeals), one of the services rendered by M/s. BCC to MMM was assistance in appointing/training marketing/service staff. This service was clearly in the nature of service of "directly or indirectly providing in any manner for recruitment or manpower for the client". As regards market research agency, again, this expression as defined under the Finance Act, 1994, means "any commercial concern engaged in conduction of market research in any manner in relation to any product, service ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... quantification of service tax. According to learned Counsel, this re-quantification is impossible inasmuch as the computation provision (Section 67 of the Finance Act, 1994) does not provide the means for this quantification. Relying on the Apex Court's ruling, learned Counsel has contended that, in view of this impossibility, it has to be held that the aforesaid services were not intended to be taxable by the Statute. The Hon'ble Apex Court's ruling is that the charging Section and the computation provision together constitute an integrated code. Even according to the Counsel for the appellants, there is a computation provision (Section 67 ibid). In the instant case, the appellants have no case that Section 76 is not applicable to their ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ally alleged in the show cause notice. Apparently, this contention, though raised before both the authorities, was not heeded by any of them. The original authority should seriously consider the question as to whether the demand of tax is time-barred or not. Hence the scope of remand ordered by the lower appellate authority will stand widened for enabling the original authority to pass a speaking order on the limitation issue also. It is ordered accordingly. It is made clear that a reasonable opportunity of being heard should be given to the party. In the result. the impugned order stands modified to the extent that the original authority is directed to examine the limitation issue also and pass a speaking order thereon in accordance with l ..... X X X X Extracts X X X X X X X X Extracts X X X X
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