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CUSTOM EXCISE & SERVICE TAX APPELLATE TRIBUNAL, BANGALORE
T.K. JAYARAMAN TECHNICAL MEMBER
R.B. Agencies -Appellant
Versus
Commissioner of Central Excise, Calicut -Respondent
Final Order No. 749 of 2007 Appeal No. ST/53 of 2007
Decided On : 03-07-2007
M. Balagopal,Anil Kumar
1. This appeal has been filed against Order-in-Appeal No. 180/2006-ST dated 17-11-2006 passed by the Commissioner of Customs and Central Excise (Appeals), Cochin.
2. The learned Advocate Shri M. Balagopal stated that the appellants only purchase pre-paid SIM card and recharge coupons from BSNL and sell the same for profit. They are not rendering any other services so as to bring them under the service tax net. Moreover, he urged that this issue is covered by the following decisions of this Bench.
(i)Idea Mobile Communications Ltd. v. CCE [2006]
(ii)South East Corpn. v. CCE [Final Order No. 610 of 2007, dated 25-5-2007];
(iii)Hindustan Associated Traders v. CCE [2007]
3. The learned JDR stated that appellants are marketing the goods of BSNL and they are liable to pay service tax under the category of "Business Auxiliary Services".
4. On a very careful consideration of the issue, I find that the matter is covered by the decisions of the Tribunal cited "supra". The appellants merely purchase SIM cards and recharge coupons from BSNL and sell the same for a profit. It is also seen that sales tax authorities are proceeding against the similarly situated parties for payment of sales tax. In any case, I find that this Bench had already taken a view that the appellants do not render any service but simply sell the goods. Therefore, they would not be liable to pay service tax under the category of "Business Auxiliary Services". Following the ratio of the above cited decisions, I allow the appeal with consequential relief, if any.
