August 7, 2006

Deputy Director,
Directorate General of Central Excise Intelligence,
Kolkata Zonal Unit : 4/2, Karaya Road ( 3rd Floor)
Kolkata – 700 017

Dear Sir,

Sub: Service Tax on the service provided under Finance Act,

‘1994’

Please refer to your letter no. DGCEIF No.8/KZU/KOL /ST/06/

4330 dated 29/6/06.

In this connection, we submit our point wise reply as

follows:-

(i) Agreement with foreign service provider on

intellectual property service is enclosed herewith.

(ii) We are not providing any taxable service, and as

such question of agreement with customers for other
taxable services does not arise.

(iii)We have already provided details of management

consultancy, engineering services, transport of
goods by road and intellectual property right
services to you with period wise break up of service
tax paid by us.

(iv) Trial Balance Sheet of Birla Tyres unit for the

period 2003-04, 2004-05 and 2005-06 is enclosed
herewith.
 (v) We are not providing any taxable services and hence,
question of statement of bill wise payment
realization does not arise.

(vi) We have not provided any taxable services and hence,

question of copies of bills on different services
provided by us does not arise.

(vii) Statement of deduction of cess under Research and

Development Cess Act, 1986 w.e.f. 10.09.2004 is as
follows:-

Details of R & D Cess paid for the period from 10.9.2004

till date is as follows:-

Period R & D Cess Date of payment

April 04 to September 04 62,839 30/11/2004
October, 04 to March, 05 62,063 06//05/2005
April, 05 to September, 05 69,281 28/11/2005
October, 05 to March, 06 63,216 24/05/2006

We hope that our clarifications stated above will ensure

dropping of any further investigation in this respect.

Thanking you,

Yours faithfully,

For Birla Tyres

Authorised Signatory