9911796707
TMI Blog2014 (8) TMI 1200X X X X Extracts X X X X X X X X Extracts X X X X ..... rmation Technology Service is excluded therefrom and, therefore, it is not exigible to service tax. The Tribunal had failed to consider the following expression used in the Explanation or any other service primarily in relation to operation of computer systems . According to the Learned Counsel for the appellant, the activity of the assessee falls in this expression. Thus, it would be appropriate that the matter is remitted to the Tribunal to adjudicate the same and record a finding as to whether the activity of the assessee falls under the expression or any other service primarily in relation to operation of computer systems and termed to be Information Technology Service or not. The matters are remitted to the Tribunal to decid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... thereto. A show cause notice dated 11-1-2008 (Annexure A-1) was issued to the appellant for demanding service tax of ₹ 12,65,998/- (ST ₹ 12,43,348/- and Education Cess ₹ 22,650/-) along with interest and penalty on commission received from M/s. eBIZ.com during the period 1-7-2003 to 31-3-2007 under the category of Business Auxiliary Service . The said show cause notice was duly replied by the appellant. The appellant also paid service tax to the tune of ₹ 12,65,998/- along with interest of ₹ 2,64,000/-. The adjudicating authority vide order dated 30-7-2008 (Annexure A-2) confirmed the demand of service tax of ₹ 12,65,998/- along with interest and also imposed penalty of an equal amount. Feeling aggrieved ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... see which has resulted in prejudice to the appellant. 5. On the other hand, Learned Counsel for the revenue supported the order passed by the Tribunal. 6. We have heard Learned Counsel for the parties. 7. The period involved in the present appeals relate from July, 2003 to March, 2007. 8. Business Auxiliary Service was brought under Service tax net w.e.f. 1-7-2003 vide Section 65(19) of Finance Act, 1994. An amendment was carried out w.e.f. 10-9-2004 whereby Section 65(19) of the Finance Act was amended which reads thus :- 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 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... computer systems. As per the definition of Business Auxiliary Service, the activity of Information Technology Service is excluded therefrom and, therefore, it is not exigible to service tax. The Tribunal had dealt with this aspect in para 6 which reads as under :- 6. On going through agreement between eBIZ assessee and also activities undertaken by the assessee, there is no doubt that assesses are involved in promotion or marketing of services of eBIZ and getting commission for the eBIZ for the same. It is the contention of the assessees that they are covered under exclusive part of definition as their activities are Information Technology Service. We find that as per explanation given under Section 65(19) Information Technology Service ..... X X X X Extracts X X X X X X X X Extracts X X X X
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