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TMI Blog2024 (8) TMI 91X X X X Extracts X X X X X X X X Extracts X X X X ..... E TAX, NOIDA [ 2018 (10) TMI 1007 - CESTAT ALLAHABAD] have decided the issue wherein it has been held that the grant-in-aid received by the appellant from Government of India is not taxable under the category of commercial coaching or training service. The impugned order in appeal is without any merit and is set aside - appeal allowed. - MR. RAMESH NAIR, MEMBER (JUDICIAL) AND MR. C. L. MAHAR, MEMBER (TECHNICAL) Shri Saurabh Dixit, Advocate for the Appellant Shri P Ganesan, Superintendent (AR) for the Respondent ORDER The brief facts of the matter are that the appellant are engaged in providing security agency service as defined under section 65 (94) of the Finance Act, 1994. The department during the course of the audit of financial recor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der in case of M/s. ILFS Clusters Development Initiative Ltd reported under 2018 (10) TMI 1007-CESTAT have decided the issue wherein it has been held that the grant-in-aid received by the appellant from Government of India is not taxable under the category of commercial coaching or training service. The relevant extract of the decision are reproduce here below: A. Demand of service tax of 23,44,07,478/- (i) The learned counsel for the appellant has submitted that the details of Skill Development Programme for rural BPL Youths under Swarnjayanti Gram Swarozgar Yojana implemented by Ministry of Rural Development of Government of India is available at Page-107 onwards in appeal paper book. He has submitted that object of the said programme was ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the said amount. Revenue wanted to levy service tax on grant-in- aid received by the assessee in the said case. This Tribunal held that assessee therein collected grant-in-aid from Government and grant-in-aid was totally utilized for implementation of welfare scheme and nothing over and above said grant-in-aid was received by the assessee and it was concluded that the assessee therein did not receive any consideration for any service to the Government. This Tribunal had held in the said case that service tax was not leviable on grant-in-aid received by the assessee from the Government as Project Implementing Agency of Government. The learned counsel for the appellant has submitted that the amount received for the said programme on which de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s. It is not in dispute that the assessee company had implemented welfare schemes for the Central and State governments for the benefit of the poor or otherwise vulnerable/weaker sections of the society and collected grants-in-aid from the governments concerned. It is not in dispute that these grants-in-aid had been totally utilized for implementing the welfare schemes. Nothing over and above these grants-in-aid was received by the assessee from any of the governments. In other words, the assessee did not receive any consideration for any service' to the governments. Therefore, we hold that, in the implementation of the Governmental schemes, the assessee as implementing agency did not render any taxable service to the government. The de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tructure planning etc, are apparently in the nature of projects involving application of social science principles. The revenue has not shown that any techniques or principles of pure and applied sciences were applied in the implementation of the governmental schemes by the assessee. In the case of Administrative Staff College of India (supra), this Bench held that, as theresearch activities of the assessee (Administrative Staff College) were related to social science, they would not be within the ambit of scientific or technical consultancy and hence no service tax could be levied under that category, which view is squarely applicable to the facts of the present case. The view taken by the Tribunal in the above case stood affirmed by the a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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