Custom, Excise & Service Tax Tribunal
Nasik vs G.P. Electronics Ltd on 21 February, 2013
IN THE CUSTOMS, EXCISE AND SERVICE TAX APPELLATE TRIBUNAL
WEST ZONAL BENCH AT MUMBAI
APPEAL NO: ST/165/2005
CROSS-OBJECTION NO: ST/CO-381/2005
[Arising out of Order-in-Appeal No: CEX.XI/JMJ/82/APL/NSK/ 2005 dated 29/04/2005passed by the Commissioner of Central Excise & Customs (Appeals), Nasik.]
For approval and signature:
Honble Shri P.R. Chandrasekharan, Member (Technical)
Honble Shri Anil Choudhary, Member (Judicial)
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 CESTAT (Procedure) Rules, 1982 for publication in any authoritative report or not?
:
Yes
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?
:
Yes
Commissioner of Central Excise & Customs
Nasik
Appellant
Vs
G.P. Electronics Ltd.
Respondent
Appearance:
Ms. D.M. Durando, Dy. Commissioner (AR) for the appellant None for the respondent CORAM:
Honble Shri P.R. Chandrasekharan, Member (Technical) Honble Shri Anil Choudhary, Member (Judicial) Date of hearing: 21/02/2013 Date of decision: 21/02/2013 ORDER NO: ____________________________ Per: P.R. Chandrasekharan:
The appeal is against Order-in-Appeal No: CEX.XI/JMJ/82/ APL/NSK/2005 dated 29/04/2005passed by the Commissioner of Central Excise & Customs (Appeals), Nasik. Vide the impugned order, the appellate authority held that the liability to pay service tax on M/s. G.P. Electronics Limited, the respondent herein, on the royalty paid by them towards technical know-how to M/s. TDK Corporation, Japan on reverse charge basis is not sustainable in law in view of the decision of this Tribunal in the case of Bajaj Auto Ltd. vs. Central Excise, Aurangabad 2004-TIOL-970-CESTAT-MUM under the category of Consulting Engineer Service.
2. The issue covered in this appeal is already well settled by the decision of the honble High Court of Bombay in the case of Indian National Ship Owners Association vs. Union of India 2009 (13) STR 235 (Bom.) affirmed by the honble apex Court, wherein it was held that the liability to pay service tax on services received from abroad on reverse charge basis would arise only after the insertion of Section 66A in Chapter V of the Finance Act, 1994 w.e.f. 18/04/2006. In the present case, the period involved is July, 1998 to May, 2003.
3. In view of the honble Bombay High Courts judgment, there is no liability to pay any service tax on the respondent herein. The appeal filed by the Revenue is devoid of merit and is accordingly dismissed. The Cross-Objection is also disposed of. (Dictated in Court) (Anil Choudhary) Member (Judicial) (P.R. Chandrasekharan) Member (Technical) */as 3