9911796707
TMI Blog2023 (12) TMI 6X X X X Extracts X X X X X X X X Extracts X X X X ..... eign agent as analogues to a clearing and forwarding agent who actually effects sales. It was contended that the sales promotion is a terms of art and an agent can be appointed only for that purpose and therefore, the nature of the agreement between the assessee and the agent; the invoices indicating the payments made to the agent would all be relevant factors to be considered while arriving at a finding as to whether the appellant-assessee is entitled to claim input tax credit - there are substance in the contention of learned senior counsel appearing for the appellant particularly having regard to the doubt expressed by the High Court with regard to the manner in which the CESTAT had reversed what had been stated by adjudicating authority ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed judgment inasmuch as the High Court has stated that in regard to the claim of CENVAT credit on the payment of commission to a foreign agent or service rendered, whether the same was in the nature of sales promotion or effecting of sale as such, the Tribunal had not discussed in detail and instead the Tribunal had reversed the findings of the adjudicating authority and had not allowed the benefit to the appellant-assessee by placing reliance on its findings in relation to services rendered being in the nature of clearing and forwarding agents. Learned Senior Counsel appearing for the appellant contended that if that was the opinion of the High Court then the matters ought to have been remanded to the Tribunal for a fresh adjudication bear ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ect of such service. The Tribunal while reversing the findings recorded by the Adjudicating Authority has not given any reasons in support thereof and has merely placed reliance upon its findings in relation to the services rendered by the Clearing and Forwarding agents. On a reading of the same, it is clear that insofar as the Tribunal s finding is concerned, the High Court found that the Tribunal had reversed the findings of the adjudicating authority without giving any reason in support thereof and had merely sought to compare the payments made for services rendered by a foreign agent as analogues to a clearing and forwarding agent who actually effects sales. It was contended that the sales promotion is a terms of art and an agent can be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... T, the respondent- Department will have an opportunity to have its say on the said document. In the result, the impugned judgment and order of the High Court dated 07.11.2012 as well as of the CESTAT dated 03.08.2009 are set aside to the extent of observations of the High Court as well as the CESTAT on the point of commission paid to the foreign agent only and the matters are remanded to the concerned CESTAT for a fresh adjudication on the point in controversy. Liberty is reserved to the appellant-assessee to file additional documents, if so advised after serving the copy of the same to the respondent-Department. In view of the order of remand made by this Court, all contentions on both sides are left open to be advanced on behalf of their ..... X X X X Extracts X X X X X X X X Extracts X X X X
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