Terminal Handling Charges - Reimbursement of charges service tax liability

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..... Dear Sir 1. Whether Terminal Handling Charges (THC) done by Shipping agents comes under “Business Support Services”? 2. If X limited paying THC to Shipping agents reimburses same amount it from his customer, Y, whether Service tax liability arises for X limited? 3. Whether any liability if reimburses with profit from his customer, Y? 4. If assessee applies for new registration, after 7 days, if .....

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..... no response from department. There will be a deemed registration. Suppose if the assessee has not received any registration certificate, what should be done? How to mention registration certificate number in half- yearly returns? - Reply By Madhukar N Hiregange - The Reply = Under business support the managing of distribution and logistics as well as fulfillment services are covered. Therefore i .....

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..... t appears that the same may be covered wef 1st may 2006. In normal course reimbursments were not a subject matter of levy of ST. However with the Service Tax (Determination of Value) Rules, 2006 wef 19.4.2006, reimbursements as a pure agent only qualify . For being a pure agent 8 conditions are to be met. One of them is that there is no add on. Therefore it appears that if margin is added then t .....

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..... he service would be taxable for the intermediary. If there is no repsonse from the department, a reminder maybe sent( speed post or RPAD) and acknowledgement retained. The Registration number would be the PAN no followed by ST-001 which can be printed in the invoices. The returns can also be filed to the juridicational commissionerate and the covering letter may indicate that the registration is s .....

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..... till awaited. - Terminal Handling Charges - Reimbursement of charges service tax liability - Query Started By: - P.M.Raveendran Dated:- 6-6-2006 Service Tax - Got 1 Reply - Service Tax - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax .....

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