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TMI Blog2016 (8) TMI 90X X X X Extracts X X X X X X X X Extracts X X X X ..... o the business promotional activity. In that circumstance, we direct the applicant to make pre-deposit of ₹ 11.50 lakh at this stage. On such deposit the balance amount of service tax under this head is waived off during the pendency of the appeal. The applicant has paid player release fee to the Cricket Board South Africa and Cricket Board Australia for playing the cricket in IPL on behalf of the applicant. The demand has been confirmed under the category of Manpower Recruitment or Supply Agency Service. As discussed in the preceding paragraph, the applicant is not a Manpower Recruitment or Supply Agency and under this head, service tax is not leviable. Therefore, prima facie, we waive the requirement of pre-deposit of ₹ 10 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Cricket Board South Africa and Cricket Board Australia Manpower Recruitment Agency Service (under reverse charge mechanism) 10,47,356 2011-12 5 Rule 6(3) (i) - demand of 8% on the value of gate receipts (exempted service -NA- 40,95,996 2011-12 Total 10,44, 02, 493 2. The facts of the case are that the applicant is one of the franchises of BCCI-IPL T-20 Cricket tournament. Their team is known by the name of Kings XI Punjab and play in the IPL tournament. There is an agreement between two parties sp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ansfer fees received by the applicant for trading of players, the Revenue sought to classify it under Manpower Recruitment or Supply Agency Service. It is the contention of the learned Counsel that the applicant is not a Manpower Recruitment or Supply Agency. In fact, the applicant is engaged in the playing of tournament in IPL. Further, the applicant is engaged in the activity of trading of players and not providing any service to any team. In that regard, the demand of service tax under the category of Manpower recruitment or supply agency service is not maintainable. 6. With regard to the Players Release Fee paid to the Cricket Board South Africa and Cricket Board Australia, the argument of the learned is that the applicant is not a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... payment of services rendered by them. In fact it is seen that such payments are towards share of central receipts for Media Rights and other income. In this situation, the BCCI-IPL and the appellants are jointly undertaking a business venture where there may be loss or profit. The Board vide its Circular No. 109/03/2009-S.T., dated 23-2-09 in the case of film distributors and theatre owners exhibiting films on revenue sharing arrangement has clarified that neither party is providing service to the other. Prima facie, we are of the view that this clarification will apply to this situation at hand and there is no case for pre-deposit from the appellants on this account. 12. Therefore, prima face we find that the demand is not sustaina ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Arvind Mills -2014 (35) STR 496 (Guj.) wherein the facts of the case as under:- 3 . Brief facts are that respondent had a composite textile mill and was engaged in manufacturing of fabrics and ready-made garments. In order to reduce its cost the respondent deputed some of its employees to its group company, who were also engaged in similar businesses. Reason for such deputation was also on certain occasions stipulated work arising for a limited period. The Tribunal recorded that there was no allegation of finding that the respondent had deputed employees to any other concerns outside its own subsidiary companies. The Tribunal also recorded that undisputedly the employees deputed do not work exclusively under the direction or supervis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it of ₹ 54,96,080/- during the pendency of the appeal. 18. The applicant has paid player release fee to the Cricket Board South Africa and Cricket Board Australia for playing the cricket in IPL on behalf of the applicant. The demand has been confirmed under the category of Manpower Recruitment or Supply Agency Service. As discussed in the preceding paragraph, the applicant is not a Manpower Recruitment or Supply Agency and under this head, service tax is not leviable. Therefore, prima facie, we waive the requirement of pre-deposit of ₹ 10,47,356/- during the pendency of the appeal. 19. With regard to the demand of 8% on the value of gate receipts, the applicant has already reversed the amount of ₹ 40,95,996/-. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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