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TMI Blog2019 (1) TMI 564X X X X Extracts X X X X X X X X Extracts X X X X ..... in Indian rupees - the appellant had rendered services to the local exporters in the sale of the sea foods and received commission from them. Extended period of limitation - penalty - Held that:- Since the appellant had not registered themselves with the central excise and service tax department for payment of appropriate service tax on the commission amount received from the Indian exporters and not disclosed the said facts, hence the authorities below have rightly confirmed the demand with interest invoking extended period of limitation - consequently imposition of penalties also justified. Appeal dismissed - decided against appellant. X X X X Extracts X X X X X X X X Extracts X X X X ..... llant either directly or include the commission in the export price realization by the local exporter. It is his contention that since the appellant had provided services to the overseas buyers, therefore, the said service is an export service, accordingly, not leviable to Service Tax. He has further submitted that the payment of the commission in Indian rupees by the local exporters to the appellant cannot be construed as not providing service to the overseas customers. Hence, the impugned order is bad in law and liable to be set aside. In support, he has referred to the judgment of this Tribunal and Hon'ble High Court in the following cases: - (i) M/s Samit Enterprises Pvt. Ltd. Vs. Commissioner of Central Excise &Service Tax, New D ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rd both sides and perused the records. 6. The short issue involved in this case is whether the services rendered by the appellant fall under the category of Business Auxiliary Service. Business Auxiliary Service defined under Section 65(19) of the Finance Act, 1994 as follows: - "Business auxiliary service" means any service in relation to, (i) promotion or marketing or sale of goods produced or provided by or belonging to the client; or (ii) promotion or marketing of service provided by the client; or (iii) any customer care service provided on behalf of the client; or (iv) procurement of goods or services, which are inputs for the client; or Explanation.- For the removal of doubts, it is hereby declared that for the purposes ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... case, though the appellant had claimed that they were appointed by the overseas buyers for procurement/purchase of sea foods for and on behalf of the overseas buyers, however, statements of the local exporters reveal that for sale of their sea food products to overseas buyers, they have paid the appellant commission in Indian rupees. In one of the letter dated 26.5.2014 issued by M/s Entel Food Products Pvt. Ltd., an exporter of sea foods, it is categorically stated as follows: - "M/s August Marketing is our acting agent for the overseas buyers for the imports made by them from India. We have taken seafood export orders from them and they have charged us commission in USD. The same has been paid by us at the realization rupees rate." Si ..... X X X X Extracts X X X X X X X X Extracts X X X X
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