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TMI Blog2017 (9) TMI 262X X X X Extracts X X X X X X X X Extracts X X X X ..... he appellant assessee is not an advertising agency and are merely canvassing for the work by another advertising agency. If that being the case, the question of payment of service tax by the appellant-assessee and the acceptance of the same by the Revenue under the category of advertising agency is not correct. The whole consideration received by the appellant-assessee has to be either taxed under advertising agency or as a canvassing work (BAS) since full money has been collected from the Govt. Departments on a single bill. The dual approach by the Revenue is not legally sustainable. Appeal dismissed - decided against Revenue. - ST/59308-59309/2013-DB - Final Order Nos. ST/A/50643-50644/2017-CU(DB) - Dated:- 31-1-2017 - Shri S.K. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ppellant from various Govt. Departments over and above the actual expense incurred and billed by the persons who are ultimately executing the advertisement work as per the directions of the assessee/appellant. The lower authorities held that such charges are liable to tax under the category of Business Auxiliary Service in terms of Master Circular dated 23-8-2007 issued by C.B.E. C. The said circular clarifies that business/agencies who are canvassing advertisement work on commission basis are liable to be taxed under BAS and not as advertising agencies. The impugned order confirmed the service tax demand of ₹ 10,74,562/-. However, penalties imposed under Sections 76, 77 78 were waived. 3. The ld. Counsel for the appellant/asse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sides and perused the appeal records. 6. Admittedly, the appellant/assessee is registered with the department and has been discharging service tax under the category of advertising agency service. The present dispute is not on their payment of service tax under this category. It is on the 10% charges collected by them from various Govt. Departments along with the advertisement expenses. We have noted that the bill amounts raised by the advertising agency on the appellant/assessee was reproduced with details in the bills raised by the appellant assessee to the Govt. Department. The advertisement agency who actually rendered the service have shown their value and service tax separately and the same is paid by the appellant assessee to such ..... X X X X Extracts X X X X X X X X Extracts X X X X
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