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TMI Blog2023 (8) TMI 126X X X X Extracts X X X X X X X X Extracts X X X X ..... The documents relied to support this argument are the General Power of Attorney and declaration executed by the land owners to the appellant. On bare perusal, it can be seen that these documents do not confer any legal title or possession over the property to the appellant. These documents only facilitate the appellant to find a buyer for the land without the involvement of the land owners. The documents are executed for a trust and assurance that the land owners will not sell their land to any other buyer - The General Power of Attorney is only an authorisation to sell and to find a buyer. This facilitates the appellant for finding a buyer for the land and also avoid the need of each land owner to come to the Register Office. It saves stam ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... :- 2-8-2023 - MRS. SULEKHA BEEVI C.S., MEMBER (JUDICIAL) AND MR. VASA SESHAGIRI RAO, MEMBER (TECHNICAL) Shri M. N. Bharathi, Advocate for the Appellant Shri M. Ambe, DC (AR) for the Respondent Shri Harendra Singh Pal, Assistant Commissioner / A.R. ORDER Brief facts are that the appellant who is engaged in rendering services under the category of Renting of Immovable Property Services has obtained registration for such services. During scrutiny of the account for the year 2006-07 and 2007-08 it was found that appellant had received Rs.92,56,460/- and Rs.18,01,000/- during 2006-07 and 2007-08 respectively for providing Real Estate Services . The appellant had not registered for the said service and did not dischar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d cannot be construed as consideration received for Real Estate Agent Service. 3. Further, the appellant had properly accounted the income received in the profit and loss account for relevant year. It is explained that as the asset was acquired and sold within the same financial year, as stock in trade, the same was not reflected in the fixed assets schedule. The amount is actually profit from purchase and sale of immovable property and not service charges for Real Estate Agent services though the appellant had indicated the amount as service charges in their accounts. 4. The Learned Counsel argued on the ground of limitation also. It is submitted that the entire transaction was reflected in the Books of account and Balance sheet. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ttorney or the declaration signed by the land owners are not legal documents transferring right over the property to the appellant. The General Power of Attorney allows the appellant to find purchasers for the land of the land owners. Thus the amount received is nothing but commission as a Real Estate Agent. The demand confirmed is legal and proper. Further that the evasion of tax would not have come to light but for the scrutiny by the audit party. The appellant is therefore guilty of wilful suppression of facts and the demand raised invoking extended period is legal and proper. 6. Heard both sides. 7. The issue to be decided is (i) whether the appellant is liable to pay service tax under Real Estate Agent Service (ii) whether the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... man/ agent in the purchase and sale of immovable property and the amount received is consideration for such services. We are in full agreement with the findings of the adjudicating as well as the Commissioner (Appeals) on the merits of the case. The issue on merits is found against the appellant and in favour of the Revenue. 9. The Learned Counsel has argued on the ground of limitation also. It is submitted by the appellant that they have disclosed the amount received in these accounts and therefore cannot be held guilty of wilful suppression of facts with an intent to evade payment of duty. It has to be seen that the appellant did not obtain registration under the Real Estate Agent Service and did not pay the service tax. The same wou ..... X X X X Extracts X X X X X X X X Extracts X X X X
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