COMMISSIONER OF CENTRAL EXCISE Vs. PINNACLE

JUDGEMENT

(1.) The challenge in the present appeal filed under section 35G of the Central Excise Act, 1944 is to an order dated August 30, 2011 (Pinnacle v. CCE, 2012 53 VST 433) passed by the Customs, Excise and Service Tax Appellate Tribunal, New Delhi, whereby the Tribunal has excluded the cost of the study material from the taxable quantum of services. The assessee has claimed the cost of books sold at the prices decided by the publisher and printed by M/s. Bull Eye, Pune, from the quantification of the services provided by the assessee. The claim of the Revenue is based on Notification No. 12/2003-ST, dated June 20, 2003, which reads as under:

(2.) The learned counsel for the appellant has vehemently argued that the Central Board of Excise and Customs has issued a circular on June 20, 2003. Paragraph 2.9.1 contemplates that the exclusion of the cost of the books in terms of the above notification shall apply only to the sale value of standard textbooks, which are priced. Any study material or written text provided by the assessee is part of service, and will be subject to service tax.

(3.) The relevant extract from the circular reads as under: