Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2019 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (1) TMI 1169 - AT - Service TaxValuation - Servicing of Motor Vehicles - inclusion of reimbursement expenses in assessable value - Department was of the view that the expenses incurred by the dealers, like the appellant herein, for providing free services during warranty period are reimbursed by the manufacturer of vehicles - Held that:- The issue as to taxability of the reimbursable expenses has finally been laid to rest by the Hon’ble Supreme Court in the case of UOI Vs Intercontinental Consultants and Technocrats Pvt. Ltd. [2018 (3) TMI 357 - SUPREME COURT OF INDIA] where it was held that only w.e.f. 14.05.2015, by virtue of provisions of Section 67 itself, such reimbursable expenditure or cost would also form part of value of taxable services for charging service. The CESTAT Chennai in Dream Loanz Vs CCE Coimbatore [2017 (5) TMI 1464 - CESTAT CHENNAI] held that the reimbursable out-of-pocket expenses are not includible in gross value of taxable services, not being amounts charged by service provider for such services. Appeal allowed - decided in favor of appellant.
|