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2017 (8) TMI 1285 - CESTAT CHENNAILevy of service tax - various CHA services - Various Business Auxiliary Services - Break Bulk fee as CHA service - Freight Rebate as BAS - Airline Commission as BAS - Airline Incentive as BAS - CCX fee as BAS - Held that: - the Mumbai Bench in the case of DHL Logistics Private Limited Versus Commissioner of Central Excise, Mumbai-II [2017 (8) TMI 600 - CESTAT MUMBAI], has held that freight rebate, airline commission and airline incentive are not liable to levy of service tax and has held the issue in favour of assessee. Following the same, we hold that the demand of service tax in respect of above three services is not sustainable and requires to be set aside. CCX fee as BAS - Held that: - The Tribunal in the case of DHL Logistics Private Limited held that demand under CCX fee as BAS is sustainable. Following the same, we hold that the demand in the appeal has to be sustained. Break Bulk fee as CHA service - whether the said fee would fall under BAS? - Held that: - the demand of service tax on the charges like break bulk fee, agency fee, unallocated income, system currency assessment factor and expenses reimbursement are not subject to levy of service tax under BAS prior to 1.5.2006. The demand on these charges is required to be set aside. Penalty - Held that: - several amendments were brought into the definition of Business Auxiliary Service - Further, a new entry Business Support Service was introduced from 1.5.2006. In view thereof, we hold that imposition of penalty is unwarranted. Appeal allowed - decided partly in favor of appellant.
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