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TMI Blog2024 (12) TMI 1305X X X X Extracts X X X X X X X X Extracts X X X X ..... . T. Thasmi. For the Respondent: By Sri. Sreelal N. Warrier, SC, Central Board of Excise & Customs. JUDGMENT DR. A.K. JAYASANKARAN NAMBIAR, J. 1. As all these appeals involve a common issue and are preferred against a common order dated 12.12.2017 of the Customs, Excise and Service Tax Appellate Tribunal, Bangalore, they are taken up together for consideration and disposed by this common judgment. 2. The brief facts necessary for disposal of these appeals are as follows: The appellant in all these appeals is the Kerala State Ex-services League, which is a Charitable Society registered under the Travancore Cochin Society Registration Act, 1955 and is affiliated to the Indian Ex-Service League, New Delhi. It has its registered office a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dering services relating to the security of any property, whether movable or immovable, or of any person, in any manner", the original authority once again found that the activities of the appellant would attract the definition of "security agency service" for the purposes of payment of service tax under the Finance Act, 1994, as amended. 5. Aggrieved by the order of the original authority, the appellant preferred appeals before the First Appellate Authority which confirmed the demand of service tax and penalty on the appellant. In the further appeals preferred by the appellant before the Appellate Tribunal, the Appellate Tribunal also found that the services provided by the appellant would attract the definition of "taxable service" under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ent Offices or private or public sector undertakings for security cover, the appellant would furnish a panel of names for selection by the undertaking concerned. On its part, the appellant would take the full responsibility of executing the security contract and making the payment to the ex-servicemen so employed on contract basis by the establishment concerned. It is his case that in view of the fact that the members of the appellant are employed on contract basis by the establishments concerned, the role played by the appellant cannot be seen as providing a security service to an establishment. He would further point out that the service tax liability under the Finance Act, 1994, as amended, is attracted only if the entity that provides f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ws: Taxable Service "Taxable Service" means any service provided, to a client, by a security agency in relation to the security of any property or person, by providing security personnel or otherwise and includes the provision of services of investigation, detection or verification of any fact or activity. 9. What is clear from a reading of the aforesaid definitions is that to attract the levy of tax as applicable to the security agency services, the service has to be provided by a commercial concern engaged in the business of rendering services relating to security of any property, whether movable or immovable, or of any person, in any manner and includes the services of investigation, detection or verification of any fact or activity ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... es they charged a fee. Taking cue from the above Circular, we would think that for an association like the appellant before us, the embarking on a transaction that is designed to earn income for its members, would have to be seen as a commercial venture and the appellant who embarks on such a venture, a 'commercial concern'. We say so because although it may be a fact that in any particular year(s), the appellant did not make any profit from its commercial activities, the fact remains that it had embarked upon the venture with an objective of making profit. 10. The appellant cannot be treated at par with educational institutions, which by their very nature and going by the activities intended to be performed by them, cannot be seen ..... X X X X Extracts X X X X X X X X Extracts X X X X
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