Services provided in relation to promotion or marketing of service weizmann forex ltd bangalore one by the client is leviable to Service Tax under business auxiliary service. Marketing or promotion means activities which are directed towards furtherance of sale. Organization and selling of lotteries are globally treated as supply of service.
Act, 1998 enables State Governments to organize, conduct or promote lotteries. Lottery tickets are printed by the State governments and are sold through agents or distributors. Tickets are delivered by the State Government to the distributors at a discounted price as compared to the face value of the tickets. Thus, the procurements of input, capital goods or input services as defined in the CENVAT Credit Rules, by any person for a client i. Commission agent: As per the definition of Business Auxiliary services, services as commission agent are considered Business Auxiliary services. As regards the question whether Insurance agents, Clearing and Forwarding agents working on commission basis fall under the definition of business auxiliary service, it is clarified that they do not, as they are specifically covered within the definition of other specified taxable services, namely the Insurance service and Clearing and Forwarding Service respectively.
It is not possible to give an exhaustive list of business auxiliary services, the following are illustrations of services that are covered under this category viz. The activity of production or processing of goods for, or on behalf of, the client either amounts to manufacture or it amounts to Job work. This exclusion is given to avoid double taxation on same product. Manufacture attracts levy of Excise duty, thus the production or process which does amount to manufacture is excluded from levy of Service Tax. Third Schedule, involves packing or repacking of such goods in a unit container or labeling or re-labeling of containers including the declaration or alteration of retail sale price on it or adoption of any other treatment on the goods to render the product marketable to the consumer.