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2018 (6) TMI 441 - AT - Service TaxValuation - C&F Agency service - inclusion of reimbursable expenses - marketing the products on commission basis - Department was of the view that appellant is liable to pay service tax under C&F Agency service as well as under Commission Agency services - Held that:- The issue whether reimbursable expenses can be included in the total taxable value for quantification of demand has been settled by the decision in the case of in the case of Intercontinental Consultants and Technocrats Pvt. Ltd. [2018 (3) TMI 357 - SUPREME COURT OF INDIA], wherein the Hon'ble Supreme Court has held that such reimbursable expenses cannot be made part of total taxable value - the appellant is liable to get the benefit of exclusion of reimbursable expenses - For deciding the said issue and for exclusion of reimbursable expenses on the basis of records furnished by the appellant, the issue is remanded to the adjudicating authority. Penalty u/s 76, 77 as well as 78 of the FA - Held that:- Needless to say that the penalty imposed under Sections 76 and 78 cannot sustain simultaneously - It is brought out from the facts that the appellant was under bonafide belief that they are not liable to pay service tax and was eligible for the exemption under N/N. 14/2004-ST dated 10.9.2004. Moreover, the issue whether reimbursable expenses can be included in the total taxable value was also under litigation - penalties set aside. Matter remanded to the adjudicating authority to requantify the demand after excluding the reimbursable expenses as claimed by the appellant - appeal allowed in part and part matter on remand.
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