9911796707
TMI Blog2023 (4) TMI 425X X X X Extracts X X X X X X X X Extracts X X X X ..... n respect of Market Research Services. The order passed by the adjudicating authority was premised on the basis that the petitioner was rendering services directly to the customers of OHMI, Japan. This was in the context of the Business Support Services rendered by the petitioner to OHMI, Japan. It is also apparent form the plain language of Section 2(13) of the IGST that intermediary is one that arranges or facilitates supply of goods and services. In the present case, there is no dispute that the petitioner had rendered Market Research Services on its own; there is no allegation that it had arranged supply of such services from a third party - Admittedly, in the present case, the petitioner is rendering the Market Research Services direct ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e petitioner s application related to refund of integrated tax paid on two invoices, both dated 20.07.2018, for the value of USD 84,152 USD 30,000/- respectively. Against the aforesaid invoices, the petitioner had received a remittance of USD 1,14,073.52/-. The petitioner had paid the integrated tax under the Integrated Goods and Services Tax Act, 2017 (hereafter the IGST ) amounting to ₹14,14,604/- in respect of the said two invoices and therefore, sought refund of the said amount. 6. The petitioner was issued a deficiency memo dated 04.01.2019 calling upon the petitioner to provide a copy of the Service Agreement with the service recipient. Admittedly, the petitioner complied with the said requirement and provided copies of the two ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of ₹3,71,767/- for the services invoiced during the period of July, 2018 and therefore, confined its relief for seeking refund of the said amount. 9. The petitioner s appeal was rejected by the appellate authority by upholding the order passed by the adjudicating authority without noticing that the petitioner had confined the appeal to refund of integrated tax on Market Research Services and had not challenged the denial of refund on account of services provided to customers directly. 10. The appellate authority held that the petitioner was not eligible for refund of amount of ₹14,14,604/- without noting that the petitioner s appeal was confined to seeking a refund of ₹3,71,767/- which was integrated tax paid on invoices ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hed that the following is the scope of the work performed by the petitioner: 1. Research and analyse details of product requirements in steel industry, together with details/background of its opportunities. ii. Research and analyse trend of business agreements related to prospective customers. iii. Research and analyse the situation of prospective customers competitors. iv. Research and analyse the price trend of steel products in the market. v. Research and analyse information production of major steel mills in India. 14. According to the respondent, the above activities indicate that the petitioner has facilitated the supply of services between OHMI, Japan and its customers in India. This contention is clearly unsustainable. 15. The term ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... idered as an intermediary service. An intermediary essentially arranges or facilitates another supply (the main supply ) between two or more other persons and, does not himself provide the main supply. 18. Admittedly, in the present case, the petitioner is rendering the Market Research Services directly to OHMI, Japan. Therefore, insofar as providing Market Research Services is concerned, the petitioner cannot be held to be an intermediary. 19. The issue involved in the present case is covered by the decision of this Court in M/s Ernst And Young Limited v. Additional Commissioner, CGST (supra). 20. In view of the above, the present petition is allowed. The impugned order is set aside. 21. The respondent is directed to process the petitioner ..... X X X X Extracts X X X X X X X X Extracts X X X X
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