In exercise of the powers conferred by section 93 of the Finance Act, 1994 (32 of 1994), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts the business auxiliary services provided by a commission agent in relation to sale or purchase of agricultural produce from the service tax leviable thereon under section 66 of the said Act. "OLD - commission agent from the service tax leviable thereon under sub-section (2) of section 66 of the said Act. "

(In above para words "commission agent from the service tax leviable thereon under sub-section (2) of section 66 of the said Act" has been substituted vide Notification No. 08/2004-ST, DT. 09/07/2004)

Explanation.- For the purposes of this notification,-

(i) Omitted

(Clause (i) has been omitted vide Notification. No. 19/2005-ST, DT. 07/06/2005)

"OLD(i) “commission agent” means a person who causes sale or purchase of goods, on behalf of another person for a consideration which is based on the quantum of such sale or purchase."

(ii) “agricultural produce” means any produce resulting from cultivation or plantation, on which either no further processing is done or such processing is done by the cultivator like tending, pruning, cutting, harvesting, drying which does not alter its essential characteristics but makes it only marketable and includes all cereals, pulses, fruits, nuts and vegetables, spices, copra, sugar cane, jaggery, raw vegetable fibres such as cotton, flax, jute, indigo, unmanufactured tobacco, betel leaves, tendu leaves, rice, coffee and tea but does not include manufactured products such as sugar, edible oils, processed food and processed tobacco.

(Above Explanation has been substituted vide Notification. No. 08/2004-ST, DT. 09/07/2004)

"OLD -
Explanation.- For the purposes of this notification, "commission agent" means a person who causes sale or purchase of goods, on behalf of another person for a consideration which is based on the quantum of such sale or purchase."

2. This notification shall come into force on the 1st day of July, 2003.

[F.No. B3/7/2003-TRU]

(V. Sivasubramanian)
Deputy Secretary to the Government of India