TMI Blog2018 (6) TMI 1358X X X X Extracts X X X X X X X X Extracts X X X X ..... 67 itself, such reimbursable expenditure or cost would also form part of valuation of taxable services for charging service tax - demand do not sustain - appeal allowed - decided in favor of appellant. - ST/433/2007-DB - 20789/2018 - Dated:- 29-5-2018 - MR. S.S GARG, JUDICIAL MEMBER And MR. P. ANJANI KUMAR, TECHNICAL MEMBER Shri Bharath Kumar, CA Sanjiv Shah Associates For the Appellant Shri Pakshirajan, Asst. Commissioner(AR) For the Respondent Per: S.S GARG The present appeal is directed against the impugned order dt. 26/09/2007 passed by the Commissioner(Appeals) whereby the Commissioner(Appeals) has rejected the appeal of the appellant. 2. Briefly the facts of the present case are that during the course of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... imposed a penalty of ₹ 2,19,397/- under Section 78 for furnishing incorrect value and suppressing the gross taxable value in their ST3 returns. Aggrieved by the said order, appellant filed appeal before the Commissioner(Appeals) who rejected the same. 3. Heard both sides and perused records. 4. Learned counsel for the appellant submitted that the impugned order is not sustainable in law as the same is contrary to the facts and the binding judicial precedent. He further submitted that the adjudicating authority has ignored the instruction issued vide F.No.B43/1/97-TRU dt. 06/06/1997 by the Ministry of Finance, which is directly applicable in the appellant's case. He further submitted that this issue is no more res integra an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ction 67 empowers the rule making authority to lay down the manner in which value of taxable service is to be determined However, Section 67(4) is expressly made subject to the provisions of subsection (1). Mandate of sub-section (1) of Section 67 is manifest, viz., the service tax is to be paid only on the services actually provided by the service provider. It is trite that rules cannot go beyond the statute: It is also well established principle that Rules are framed for achieving the purpose behind the provisions of the Act, as held in Taj Mahal Hotel': 'the Rules were meant only for the purpose of carrying out the provisions of the Act and they could not take away what was conferred by the Act or whittle down its effec ..... X X X X Extracts X X X X X X X X Extracts X X X X
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