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TMI Blog2019 (3) TMI 1218X X X X Extracts X X X X X X X X Extracts X X X X ..... be anything more or less than the consideration paid as quid pro qua for rendering such a service. The appeal filed by the Revenue is dismissed - the substantial question of law is answered against the Revenue. - Civil Miscellaneous Appeal No.2220 of 2016 - - - Dated:- 28-2-2019 - Mr.Justice T.S. Sivagnanam And Mrs. Justice V. Bhavani Subbaroyan For the Appellant : Mr.A.P.Srinvias, Senior Standing Counsel For the Respondent-1 : Mr.J.Shankarraman JUDGMENT T.S.SIVAGNANAM, J. This appeal has been filed by the Revenue under Section 35-G of the Central Excise Act, 1944, challenging the order of the Customs, Excise and Service Tax Appellate Tribunal, South Zonal Bench, Chennai in Final Order No.40457 of 2016, dat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ter appreciation, the operative portion of the said decision are quoted hereinbelow:- 23.Undoubtedly, Rule 5 of the Rules, 2006 brings within its sweep the expenses which are incurred while rendering the service and are reimbursed, that is, for which the service receiver has made the payments to the assessees. As per these Rules, these reimbursable expenses also form part of gross amount charged. Therefore, the core issue is as to whether Section 67 of the Act permits the subordinate legislation to be enacted in the said manner, as done by Rule 5. As noted above, prior to April 19, 2006, i.e., in the absence of any such Rule, the valuation was to be done as per the provisions of Section 67 of the Act. ................. 25.Obv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rged by the service provider for such service and the valuation of tax service cannot be anything more or less than the consideration paid as quid pro qua for rendering such a service. 27.This position did not change even in the amended Section 67 which was inserted on May 01, 2006. Sub-section (4) of Section 67 empowers the rule making authority to lay down the manner in which value of taxable service is to be determined. However, Section 67(4) is expressly made subject to the provisions of subsection (1). Mandate of subsection (1) of Section 67 is manifest, as noted above, viz., the service tax is to be paid only on the services actually provided by the service provider. ................. ................. 31.In the pr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iarity in the mode of verbal communication by a legislation. A legislation is not just a series of statements, such as one finds in a work of fiction/non-fiction or even in a judgment of a court of law. There is a technique required to draft a legislation as well as to understand a legislation. Former technique is known as legislative drafting and latter one is to be found in the various principles of interpretation of statutes. Vis- -vis ordinary prose, a legislation differs in its provenance, layout and features as also in the implication as to its meaning that arise by presumptions as to the intent of the maker thereof. 28.Of the various rules guiding how a legislation has to be interpreted, one established rule is that unless a con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to give the enactment a retrospective effect; unless the legislation is for purpose of supplying an obvious omission in a former legislation or to explain a former legislation. We need not note the cornucopia of case law available on the subject because aforesaid legal position clearly emerges from the various decisions and this legal position was conceded by the counsel for the parties. In any case, we shall refer to few judgments containing this dicta, a little later. 32.As a result, we do not find any merit in any of those appeals which are accordingly dismissed. 7.In the light of the decision of the Hon'ble Supreme Court referred above, the appeal filed by the Revenue is dismissed and the substantial question of law is a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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