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2017 (3) TMI 785 - AT - Service TaxValuation - reimbursable expenditure - Custom House Agent Service - whether the B/L, DDC charges, GOH container charges, Inland haulage charges, on carriage charges, THC, Via Charges, APT tax, AWB fee, AWC charges, MYC Charges, PCA Charges, X-ray charges etc are to be included in the taxable value? - Held that: - Tribunal in CST vs, Lee & Muirhead Pvt. Ltd. [2011 (10) TMI 504 - CESTAT, CHENNAI] had occasion to examine the includibility of reimbursable expenditure in the taxable value for CHA service. It is held that when amounts are reimbursed on actual basis, the said charges are not to be included for service tax purpose - demand set aside. Business Auxiliary Services - whether brokerage and commission amount is to be considered as a commission received for promoting clients’ business and are accordingly to be subjected to tax under the category of business auxiliary service? - Held that: - the income earned by the respondent, to be considered as taxable under any service category, should be shown to be in lieu of provision of a particular service. Mere sale and purchase of cargo space and earning profit in the process is not a taxable activity under FA, 1994 - The facts of the case indicated that the mark-up value collected by the respondent from the exporter is an element of profit in the transaction. The respondent when acting as agent on behalf of airlines/shiplines was discharging service tax w.e.f. 10.09.2004. However, with reference to amount collected from exporters/ shippers the original authority clearly recorded that it is not the case that this amount is a commission earned by the respondent while acting on behalf of the exporter and said mark-up value is of freight charges and are not to be considered as commission. Based on these findings the demand was dropped - demand set aside. Appeal dismissed - decided against Revenue.
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