Topic
CESTAT Bangalore rules that reimbursable expenses cannot be included in taxable value for service tax before 2015 amendment to Section 67 of Finance Act, 1994, relying on Supreme Court precedent.
CESTAT Chennai rules that reimbursed expenses like freight, labour, and stationery do not form part of the taxable value for clearing and forwarding agents when they act as pure agents, reinforcing the strict application of Rule 6(1)(viii). This clarifies a critical boundary for service providers who pass through third-party costs, shielding them from unintended tax liability on non-income receipts.
CESTAT Chennai rules that reimbursable expenses cannot be included in taxable value for service tax under Section 67 of Finance Act, 1994, following Supreme Court precedent.