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TMI Blog2019 (6) TMI 1452X X X X Extracts X X X X X X X X Extracts X X X X ..... venue has also filed an appeal against the said order to the extent of the demand having been dropped in the aforesaid order. This is the second round of litigation before this Tribunal. 2. Briefly stated, the facts of the case are that the assessee is undertaking job for its clients (who are buyers of coal from Coal India Ltd and its subsidiaries) which include follow up on behalf of clients between collieries and railways, supervising, monitoring, witnessing the specified coal size and grade, ensuring optimum quantity of supply with correct measurement, organizing sampling and analysis of coal. Thus, the assessee basically carries out co-ordination among clients, collieries and railways for uninterrupted supply of coal. A Show Cause Not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ary documents and submitting the same to the customers and (d) organizing sampling and analysis of coal. 4. He submitted that the assessee is not physically handling or receiving or storing the coal for their clients but only liaisoning, supervising and co-ordinating the supply of coal. He submitted that the issue has already been decided in their favour by the Hon'ble Supreme Court in the case of Coal Handlers Pvt.Ltd. vs. CCE, Kolkata [(2015) 11 SCC 683 (SC)], wherein it has been held that the aforesaid activities cannot be classified as Clearing and Forwarding services. Further, he also submitted that relying on the aforesaid Apex Court decision, this Tribunal (Mumbai Bench) in their own case has already set aside the demand in iden ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... clearing and forwarding. Revenue has not at all shown which activity was in relation to clearing and forwarding for taxability. Therefore the activity of "clearing and forwarding" consisting of two activities i.e. clearing and forwarding when carried out cumulatively and simultaneously, that only is taxable. Hon'ble Supreme Court while deciding the case in Coal Handlers Pvt.Ltd. v. CCE, Rage Kolkata-I - 2015 (38) S.T.R. 897 (S.C.) noticed that the activities of the nature as enumerated in Para 2 of the judgment should not fall within the scope of "clearing and forwarding" service. The Court has explained what constitutes clearing and forwarding operation and on the given facts and circumstances how the expression shall be interpreted. For t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pal, arranging dispatch of the goods as per the instructions of the principal by engaging transport on his own or through the transporters of the principal, maintaining records of the receipt and dispatch of the goods and the stock available on the warehouses and preparing invoices on behalf of the principal. The Larger Bench rightly enumerated these activities which the C&F Agent is supposed to perform." 4. It is his submission that Hon'ble Supreme Court has specifically held that liaisoning will not be covered by the definition of clearing and forwarding service. This can be appreciated from Para 12 of the above said judgment which is reproduced below:- "12. On the facts of the present case, we find that none of aforesaid activities ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the appellant would not qualify as C&F Agent within the meaning of Section 65(25) of the Act." 5. On the aforesaid reasoning, appellant says that the term "clearing and forwarding" would cover only those activities which pertain to clearing of the goods and forwarding thereof to a destination, under the directions of the principal. Beyond this, no other activities shall be taxable under the above said taxing entry. 6. Per contra, Revenue pleads that the entire gamut of services stated in the show cause notice is extracted above shall be taxable. 7. It is inconceivable how an activity not being covered by the fold of law shall be taxable beyond its mandate. It is well settled law in Cape Brandy Syndicate v. Inland Revenue Commissio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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