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2013 (2) TMI 485 - Commissioner - Service TaxContainer movement charges and Local transport charges – Whether Service tax on container movement charges and local transport charges is leviable under CHA service and freight charges is under GTA service –Appellant is a registered service provider of “Custom House Agent” service - not paid Service tax on Container movement charges and Local Transport charges for the period from 18-4-2006 to 31-3-2008 – Held that:- There is no allegation in the show cause notice seeking to demand Service tax under “Custom House Agent” service or “Goods transport Agency” service. However the demand had been confirmed under those heads without invoking them in the SCN. Appellant also arranges transportation of goods belong to the exporter/importer by engaging GTA - Consignment note issued by GTA clearly shows the importer or exporter as the consignor – Consignment note also mentions that the Service tax is to be paid by the consignor or the consignee. Even though the appellant pays freight charges to the GTA, separate invoice is raised on the clients for the transportation – In this invoice, it is clearly mentioned that the Service tax on the transportation is payable by the importer or exporter and the appellant is not liable to pay Service tax thereon – Consignor or consignee has discharged appropriate Service tax – Appellant is not liable to pay Service tax on freight charges paid by him and reimbursed by their clients under GTA services as it would result in double taxation. Further As decided in Lee & Muir Head Pvt. Ltd. v. Commissioner of S.T.[ 2008 (10) TMI 131 - CESTAT, BANGALORE ] All activities of CHA other than Custom House Agency cannot be taxed under CHA service, applicant are not liable to pay Service tax on container movement charges and transportation charges under CHA services and on freight charges under GTA services. When the services of container movement charges which is nothing but transportation of containers from the CFS to the port is not includible in the value of Custom House Agent Services – Order set aside – Appeal allowed – In favour of assessee.
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