JAYLAXMI ENTERPRISES Vs. COMMISSIONER OF C. EX., MANGALORE

JUDGEMENT

(1.) THIS appeal has been filed OIA No. 194/2005, C.E. dated 26 -9 -2005 passed by the Commissioner of Central Excise (Appeals), Mangalore.

(2.) THE appellants are engaged in providing certain services to their customers. In fact, they have been appointed as C and F agents for Rajashree Cement/Birla White Cement/Birla Super Cement. Revenue proceeded against the appellants alleging non -payment of Service Tax under the category of C and F Agents and for various violations of the provisions of the Finance Act, 1994. The adjudicating authority confirmed the demand and imposed penalty under various provisions. The appellant approached the Commissioner (A) contending that their services are in the nature of Del Credere and as such they cannot be treated as C and F Agent for the purpose of the Service Tax. However, Commissioner (A) gave a finding that the appellants render rightly the services of C and F Agent because the essential character of the service rendered by them is C and F Agent and Del Credere is one aspect of the service rendered by them. Appellant also requested for deduction of the amounts reimbursable expenses collected from their clients. This was also not acceded to. The Commissioner (A) confirmed the order -in -original. Therefore, the appellant have come before this Tribunal for relief.

(3.) SHRI V. Raghuraman, learned Advocate appeared on behalf of the appellant and Mrs. Sudha Koka, learned SDR for Revenue.