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TMI Blog2017 (6) TMI 684X X X X Extracts X X X X X X X X Extracts X X X X ..... tment as service provider. On verification of records it was found that the appellants did not include receipts/income accounted under certain heads viz., Surplus & Incidental Income, resulted in short payment of service tax for the period 2004-05 and 2005-06. Show Cause Notices were issued demanding service tax on the above heads and after due process of law, the original authority confirmed the demands of ₹ 10,17,659/- for the period 2004-05 and ₹ 5,36,507/- for the period 2005-06 along with interest, and also imposed penalties under Section 76, 77 of the Finance Act, 1994. Being aggrieved, the appellant filed appeals before the Commissioner (Appeals), who vide impugned order, upheld the same. Hence these appeals. 2. On behal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Delhi High Court in the Intercontinental Consultants (supra) is pending decision of the Hon'ble Apex Court. 5.2 However, the Tribunal in the other judgment has taken note of the contention of both sides requesting for remand of the appeals. Now it has been clarified by both sides that there is no stay granted by the Hon'ble Supreme Court regarding the operation of the decision rendered in the judgment of Intercontinental Consultants (supra). 5.3 Therefore, we are of the view that applying the judgment of Intercontinental Consultants of the Hon'ble Delhi High Court as well as the judgment of the jurisdictional High Court in the case of Sangamitra Services Agency (supra), the demand is unsustainable. 5.4 For better appreciation the releva ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sion. Thus, if a receipt is for reimbursing the expenditure incurred for the purpose, the mere act of reimbursement, per se, would not justify the contention of the Revenue that the same, having the character of the remuneration or commission, deserves to be included in the sum amount of remuneration/commission. 8. As per Rule 6(8) of Service Tax Rules, 1994, the gross amount referred to therein would apply to receipts of such sum, which would bear the character of remuneration or commission, in that, the said sum is brought under the head "receipts"." 6. From the foregoing discussions, and also following the ratio laid down in the cited High Court judgments, the impugned order is set aside and appeals are allowed with conseque ..... X X X X Extracts X X X X X X X X Extracts X X X X
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