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Judgment
Heard learned Counsel for the rival parties. Perused appeal.
By consent of parties appeal is taken up for final hearing.
After having gone through the impugned order of the Tribunal, it is clear that the Tribunal has already waived demand of service tax of Rs. 17.5 crore under the head "Business Auxiliary Services" on the ground that it amounts to export warranting no service tax.
So far as "Market Research Services" are concerned, the Tribunal has, prima facie found that the extended period of limitation would apply to the said "Market Research Services" and that it will be exigible to the service tax. These observations for the time being are not under challenge since they were made at the prima facie stage of the proceedings. However, the contention raised by learned Counsel for the Appellant is that no service tax is payable if the recipient of the service is out side India. According to his submission, the Tribunal ought to have applied the same principle, as applied in relation to the "Business Auxiliary Services", to the "Market Research Services". According to the Appellant, no such consideration is to be found in the impugned order to the contention raised on this count. We have also examined the order impugned herein. We could not find any consideration to this aspect of the matter vis-a-vis Market Research Services are concerned.
In the aforesaid view of the matter, looking to the consensus between the parties, the impugned order to the extent it directs pre-deposit of Rs. 35 lakh in relation to the Market Research Services is set aside. The proceeding is remitted back to the Tribunal for., consideration afresh. All rival contentions in relation to the Market Research Services are kept open. The Tribunal is directed to hear and decide the remanded proceeding with expeditious despatch, at any rate, within eight weeks from the date of receipt of copy of this order.
Appeal stands disposed of in terms of this order with no order as to costs.