Service Tax: Renting of Immovable Property Service: Constitutional Validity: Imposition of service tax under Section 65(105)(zzzz) read with Section 66 is not a tax on land and building which is under Entry 49 of List II. What is being taxed is an activity, and the activity denotes the letting or leasing with a purpose, and the purpose is fundamentally for commercial or business purpose and its furtherance. The concept has to be read in conjunction. Service tax is associated with value addition as evolved by the judgments of the Apex Court, the submission that the base of the said decisions cannot be taken away by a statutory amendment need not be adverted to. Once there is a value addition and the element of service is involved, in conceptual essentiality, service tax gets attracted and the impost gets out of the purview of Entry 49 of List II of the Seventh Schedule of the Constitution and falls under the residuary entry, that is, Entry 97 of List I. The provisions, namely, Section 65(105)(zzzz) and Section 66 of the Finance Act, 1994 and as amended by the Finance Act, 2010, are intra vires the Constitution of India. (para 69,75)

Service Tax: Renting of Immovable Property Service: Decision of Division Bench overruled: The first Home Solution case does not lay down the law correctly inasmuch as in the said decision, it has been categorically laid down that even if a building/land is let out for commercial or business purposes, there is no value addition. Being of this view, the said decision is overruled. (para 70)

Service Tax: Renting of Immovable Property Service : Renting involves value addition: The decision rendered in the first Home Solution case does not lay down the correct law as we have held that there is value addition when the premises is let out for use in the course of or furtherance of business or commerce and it is, accordingly overruled. (para 75)

Service Tax: Renting of Immovable Property Service: Retrospective Effect: It is worth noting that the Parliament, keeping in view the first Home Solution case, substituted sub-clause (zzzz) in the present incarnation and gave retrospective effect to cure the deficiency. It is well settled in law that it is open to the legislature to pass a legislation retrospectively and remove the base on which a judgment is delivered. Having overruled the first Home Solution case, the provisions would operate from 2007 and the amendment brought by the Parliament is by way of ex abundanti cautela. The challenge to the amendment giving it retrospective effect is unsustainable and, accordingly, the same stands repelled and the retrospective amendment is declared as constitutionally valid. (para 71,74,75)

Service Tax: Renting of Immovable Property Service: Penalty for non-payment: On the question of penalty due to non-payment of tax, it is open to the government to examine whether any waiver or exemption can be granted. It may be noted that the appeal against Home Solutions-I is pending before the Supreme Court but the operation of the said judgment has not been stayed. (para 73)

Commercial Coaching: Training given by appellants enables trainee to seek job or get self employed after completion of training: No evidence that it is a vocational course: Conditional stay granted.

Intellectual Property Service: Applicant is only the authorized statutory body to administer the Hallmarking scheme in India and the applicant is not transferring or permitting the use of Hallmark for any consideration, unlike the case of allowing others to use one's brand name or trade name: Full waiver granted.

Transportation of goods: transportation of effluent from the factory, cannot be considered as transportation of goods.

Cenvat credit: Cenvat credit on Tower/Shelter etc. and tower material i.e. angles, channels, beams etc. and pre-fabricated building, shelter, PUF channels used in the manufacture such Towers, denied on the ground that the same cannot be held to be inputs: In view of judgments of other benches in similar issues waiving pre deposit : Unconditional stay granted.

Sale of Sim Card: Business Auxiliary Service: Conditional stay granted.

Repair & Maintenance: Demand: No evidence that appellants were authorized service provider of any manufacturer: Demand cannot be made on presumptions.

GTA service: Double taxation at intermediate stage: Matter remanded.

Reimbursible expenses: Clearing & Forwarding Services: Expenses being directly connected with the service admissible.

Leviability: liability to tax has to be decided with reference to the definition the concerned taxable service at the relevant period of time and the activities carried out and the contract governing such activity.

Clearing & Forwarding Agent: Various expenses incurred being reimbursed to them on actual basis: Matter remanded back for examination of various aspects.

"Manpower Recruitment or Supply Agency": Appellants contended that they acted only as pure agent : Evidences not produced : Contract does not show that they acted as pure agent : Partial stay granted.

Tour Operators Service: Prior to 10.9.2004 appellants service of acting as booking agents for outstation travel agencies: arguable case: partial stay granted.

Cenvat Credit: Stay: Credit availed on the basis of judgments of High Court for demerger of units: Prima facie case made out for waiver.

Business Auxiliary Service: No direct nexus between service provided and commission received: Partial stay granted.

GTA service: Whether services of transportation taken from private truck operators would be covered in the amended definition: Partial stay granted.

Business Auxiliary Service: Appellant rectifying the defect in the inputs by undertaking some process and issuing debit note to the supplier of raw material for such charges  No service provided to the raw material supplier: No service tax.

GTA Service: Input tax credit can be used for discharging service tax liability, as it is a deemed taxable output service.

Business Auxiliary Service: Discount on the bills earned by appellants not at par with commission on which they paid service tax, this being only price mechanism not liable to tax as commission.