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TMI Blog2017 (4) TMI 96X X X X Extracts X X X X X X X X Extracts X X X X ..... h, should be considered as rendering BAS is not factually or legally sustainable. The appellants are only collecting data by questionnaire and study. Collection of such data from various target persons cannot be considered as procurement of services which are inputs for the clients - classification of the service under "market research agency" is correct - refund rightly rejected. On the second issue regarding the claim of export of service by the appellant, we note that the data collected by the appellants are delivered to the clients outside India in the required format. Without such delivery of the collected data the service will not get completed - In the present case, we are dealing with market research agency service. The same rati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... with the Department under the category of Business Auxiliary Service (BAS) . They filed two refund claims under the provisions mentioned above. The claims were examined and the Original Authority rejected the claims. He held that the appellants provided market research agency service in terms of Section 65 (105) (y) and not BAS, as claimed by them. Further, he held that the services are rendered in India and they cannot be considered as exported in terms of Export of Services Rules, 2005. On appeal, the Commissioner (Appeals) confirmed the original orders. 2. The learned Counsel for the appellant submitted that the nature of service rendered by them can be categorized under BAS. They were registered with the Department under the said ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ard both the sides and perused the appeal records. We have examined the scope of work as submitted by the appellant. The objective of the agreement dated 08/10/2009, titled as SMB Path to Market and Path to Influences Study is to conduct research among SBMs and channels to understand their purchase and sales trends. The target respondents for the study is people who have significant responsibility for technology related decisions in SMBs and people knowledgeable about sales in channels. The agreement also gives the methodology of study, sample process, questionnaire etc. The responsibility of the appellant is to set up project, mutually agreed communication schedule for the start of the project, training, data collection and quality contr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Ahmd.) while examining the scope of export of technical testing and analysis services, held that the performance of service does not get completed until the analysis report is delivered to the client. Such delivery of report, which is essential part of service, occurring outside India and used outside India will make the service as exported service. In the present case, we are dealing with market research agency service. The same ratio is applicable. The data collected from target groups are to be arranged and delivered in a manner as required by the foreign client. Without such delivery of the collected data there is no completion of service. Hence, we hold that part of the service is performed outside India. In such situation, the proviso ..... X X X X Extracts X X X X X X X X Extracts X X X X
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