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TMI Blog2015 (10) TMI 2460X X X X Extracts X X X X X X X X Extracts X X X X ..... e market data relating to industry thus rightly classified as Business Support Service. Held That:- As per CBEC Circular No. 59/8/2003 services rendered by appellant would fall under Business Auxiliary Service - Services would be covered under Section 65A (2) (c) which indicates that if a services cannot be classified in any of the manner specified in clause (a) or clause (b) it shall be classified under the sub-clause which occurs first among the sub-clauses which equally merits consideration, which in this case is the Business Auxiliary Services. – Decision made in case of of mPortal (India) Wireless Solutions Pvt. Ltd. vs. Commissioner of Service Tax, Bangalore [2011 (9) TMI 450 - KARNATAKA HIGH COURT] followed – Decided in favour of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vices rendered by the appellant get appropriately classified under Business Support Services which came into effect from 01/05/2006 and accordingly for the period in question the refund claim is ineligible to be granted as the Business Support Service was not a taxable service. Being aggrieved by the said decision, appellant preferred an appeal before the first appellate authority and the first appellate authority also concurred with the views of the adjudicating authority and rejected the appeal. 3. Learned Sr. Advocate appearing on behalf of the appellant would take us through the agreement entered into between the appellant and eBay International, Switzerland. After explaining us the ingredients of the said agreement, he would submit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fall under Business Support Services for the purpose of which he refers to the impugned order and submit that the services rendered by the appellant are mostly in respect of legal requirements relating to the business and provide market data relating to the industry. It is their submission that the prioritization of the services rendered itself would indicate that the appellant is not undertaking any marketing or promotional activities for eBay International, Switzerland. 5. Learned counsel would also submit that the hon ble High Court of Karnataka, in more or less similar situation, in the case of mPortal (India) Wireless Solutions Pvt. Ltd. vs. Commissioner of Service Tax, Bangalore 2011-TIOL-928-HC-KAR-ST has held that even if the s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f service as per agreement Classification a. Suggest to eBay International, all pertinent legal requirements relating to business for the service provider territory; Business Support Service b. Provide market data relating to industry; Business Support Service c. Provide marketing and promotional services within the service provider territory as directed by eBay International; Business Auxiliary Service Sub-clause (ii) d. Perform payment processing and collection activities related to eBay International's business in the service provider territory, including lock box service; Business Support Service e. On direction from eBay International, prepares and discuss budgets or other similar m ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f business auxiliary services, the following are illustrations of services that are covered under this category viz. evaluation of prospective customers, processing of purchase orders, customer management, information and tracking of delivery schedules, accounting and processing of transactions, operational assistance for marketing, formulation of customer service and pricing policies, managing distribution logistics. The services provided in relation to getting a customer, verification of prospective customer, processing of purchase order etc would also be covered under service tax, as the law specifically provides for inclusion of such services as business auxiliary support services. 11. It can be seen from the above reproduced cla ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not a taxable service but still the assessee cannot be denied the cenvat credit. The assessee is entitled to the refund of the cenvat credit. Similarly insofar as refund of cenvat credit is concerned, the limitation under Section 11B does not apply for refund of accumulated cenvat credit. Therefore, bar of limitation cannot be a ground to refuse cenvat credit to the assesee. 12. In the case of mPortal (supra) the issue was whether mPortal being a STPI registered unit can avail the CENVAT credit of the input services received by them. The ratio of the hon ble High Court would be applicable in the case in hand, as in this case also the appellant is registered under STPI. 13. In view of the foregoing, in the facts and circumstances ..... X X X X Extracts X X X X X X X X Extracts X X X X
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