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2023 (9) TMI 1284 - AT - Service TaxLevy of Service Tax - Management, Maintenance or Repair Service - amounts collected by the Appellant towards electricity, diesel charges for DG sets, water and parking charges - non-inclusion of parking charges in the value of taxable services - HELD THAT:- Having regard to the Order passed by this Tribunal in the case of VITP Pvt Ltd [2022 (7) TMI 1030 - CESTAT HYDERABAD], wherein the reliance has also been placed on Hon’ble Supreme Court’s judgment in the case of Intercontinental Consultants & Technocrats Ltd [2018 (3) TMI 357 - SUPREME COURT], as also factual matrix brought out in the SCNs as well as in the OIOs, the amount collected towards water, electricity and diesel are in the nature of reimbursable expenses and therefore, not liable for inclusion in the taxable value towards provision of Management, Maintenance or Repair services by the Appellant. There is nothing in the SCNs or impugned orders, which states that they have been collecting anything over and above the amount incurred towards payment of electricity bill and water bill or diesel consumption or that there was any profit involved therein - The fact that the reimbursable expenses, have been specifically brought under the coverage of gross value w.e.f. 14.05.2015, further supports the Appellant’s argument that the amounts collected on reimbursable basis were not liable for inclusion before that. In fact they have stated that in their own case itself for the subsequent period, Commissioner (Appeals) has also set aside the demand for the period 01.10.2014 to 14.05.2015 on “diesel charges”. Thus, the demand on these three charges viz., electricity, water and diesel cannot sustain - for parking charges, the amount collected also needs to be included in the gross value in Management, Maintenance or Repair services - appeal allowed in part.
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