Oracle India Pvt. Ltd vs Commissioner Of Service Tax ...
- CitationAppeal No. 153/2014 dated 19/02/2014 passed by the Commissioner of Central Excise , Bangalo
Ratio decidendi
The rule this decision rests on
The Tribunal's reasoning rests on a single principle, adopted by following an earlier decision: where the issue is fully covered by a prior Tribunal decision that held market research activity undertaken in India for a foreign parent company to be an export of services and therefore not taxable, the same activity is not taxable as Business Auxiliary Services, and the impugned demand cannot be sustained.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
[Arising out of Order-In-Appeal No. 153/2014 dated 19/02/2014 passed by the Commissioner of Central Excise , Bangalore-II( Appeals) ]
For approval and signature:
HON'BLE Mrs. ARCHANA WADHWA, JUDICIAL MEMBER HON'BLE Mr. B.S.V. MURTHY, TECHNICAL MEMBER
1 Whether Press Reporters may be allowed to see the Order for publication as per Rule 27 of the CESTAT (Procedure) Rules, 1982? No 2 Whether it should be released under Rule 27 of the CESTAT (Procedure) Rules, 1982 for publication in any authoritative report or not? No 3 Whether Their Lordships wish to see the fair copy of the Order? Seen 4 Whether Order is to be circulated to the Departmental authorities?
Oracle India Pvt. Ltd. (for M/s. BEA Systems India Pvt. Ltd.), 2nd Floor, No. 3, Oracle Technology Park, Bannerghatta Road Bangalore 560 068 Appellant(s)
Versus Commissioner of Service Tax Bangalore-Service Tax 1st To 5th Floor, TTMC Building, Above BMTC Bus Stand, Domlur Bangalore 560 071 Karnataka Respondent(s)
Appearance:
Ms Pallavi, Advocate Lakshmi Kumaran & Sridharan World Trade Centre No. 404-406, 4th Floor, South Wing Brigade Gateway Campus No.26/1, Dr. Rajkumar Road, Bangalore - 560 055 Karnataka For the Appellant
Mr. A.K. Nigam, AR For the Respondent
Date of Hearing: 08/01/2015 Date of Decision: 08/01/2015 CORAM:
HON'BLE Mrs. ARCHANA WADHWA, JUDICIAL MEMBER HON'BLE Mr. B.S.V. MURTHY, TECHNICAL MEMBER
Final Order No. 20058 / 2015
Per: ARCHANA WADHWA
Demand of service tax of Rs. 1,46,390/- (Rupees One Lakh Forty Six Thousand Three Hundred and Ninety only) has been confirmed against the appellant on the ground that by undertaking the activity of market research in India for their foreign parent company, they are providing Business Auxiliary Services.
2. We find that the disputed issue stands covered by the Tribunal decision in the case of M/s. GAP International Sourcing (India) Pvt. Ltd. Vs. CST [2014-TIOL-465-CESTAT-DEL.]. It was held that such an activity would amount to export of services and would not be taxable. By following the said decision, we grant stay and are of the view that since the issue is fully covered by the said decision, appeal itself can be disposed of.
3. Accordingly we set aside the impugned order and allow the appeal with consequential relief to the appellant. (Order pronounced and dictated in open court)
(B.S.V. MURTHY) TECHNICAL MEMBER (ARCHANA WADHWA) JUDICIAL MEMBER
iss
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