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TMI Blog2018 (5) TMI 674X X X X Extracts X X X X X X X X Extracts X X X X ..... or Appellant Shri Rishi Goel, Additional Commissioner (A.R.) for Respondent ORDER Per : Raju This appeal has been filed by M/s FCB Ulka Advertising Pvt. Ltd. against confirmation of demand of Service Tax, interest and imposition of penalty under Section 77 78 of the Finance Act, 1994. 2. Learned Counsel for the appellant pointed out that they are engaged in the service of advertisement and registered under Advertising Agency s Service . M/s Interface Communication Pvt. Ltd. (ICPL) is a subsidiary company of the appellant. A show-cause notice was issued to the appellant for providing certain services to their subsidiary company and receipts an amount equivalent to 75% of the total revenue received by their subsidiary c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... architect pays the Service Tax. However, Service Tax would be required to be paid in a case sub-contracting is to a different service category, for example, where an architect sub-contracts his work to a consulting engineer, then Service Tax would be required to be paid by both architect and the consulting engineer on the services rendered by them. Similarly, a market research agency would be required to pay Service Tax on services rendered by it to an advertising agency, even if the advertising agency is also liable to pay Service Tax on the amount billed to its client for advertising services (which, inter alia, includes the amount paid by the advertising agency for such market research services to the market research agency). 2.1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n cases where Service Tax has been paid by the principal for services rendered by him to his client and provided further that the sub contracting in question is in respect of the same service category. The issue is very clear in the light of above clarification by the Ministry and the practice being followed in the filed formations is not in accordance with the above clarification. Therefore, it is clarified the above clarification in para 7.2 of the Ministry s instruction would be applicable of all service category. He argued that in light of aforesaid Circular also they were not liable to pay Service Tax. 2.2 He further pointed out that a show-cause notice does not specify the precise sub-clause of the definition of Busin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . Steel Ltd. Vs. Union of India 1978 (2) ELT J 355 (S.C.), wherein it has been held that if show-cause notice does not mention correct Rule it does not get vitiated. Learned AR also relied on the decision of Tribunal in the case of Peekayam Engineers Vs. Commissioner of Central Excise, Nagpur final Order No. A/90394/17/STB dated 30.10.2017, wherein it has been held that sub-contractor are liable to pay Service Tax even if the value have suffered Service Tax of the main contractor. Learned AR further argued that the appellant had not mentioned the said services and exempted services in their ST-3 return. 4. We have considered the rival submissions, we find that the demand show-cause notice raised in the period 2005-06 and 2006-07 in t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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