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TMI Blog2018 (3) TMI 505X X X X Extracts X X X X X X X X Extracts X X X X ..... ice identified except charges which are reimbursed by the clients. Regarding tax liability of reimbursement expenses, the Tribunal in various cases held that such expenses incurred by the assessee on behalf of the clients, which were later reimbursed on actual basis cannot be includible for discharge of service tax liability. Appeal allowed - decided in favor of appellant. - ST/41808/2016 - ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s, PHO charges, Survey fees, Chartered Engineer charges/expenses, Container damage charges, Textile Committee charges, D.O. charges, Freight charges, Transport etc. These amounts received by the appellants are sought to be taxed under BSS. The original authority confirmed the views of the Revenue and demanded a service tax of ₹ 3,37,83,247/-. He also imposed various penalties on the appellan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... said fees. Wherever the appellants have rendered some service, which is not a charge to the third party as per the prior agreement, they have discharged the service tax. In view of these facts, the Ld. Consultant submitted that they have not provided any BSS by incurring these expenses on actual basis and as such these are not taxable either as BSS or as part of C F agent s service. He relied o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vice to the clients as C F agent. This is not in dispute. The Revenue action is with reference to tax all these charges incurred by the appellants to third parties on behalf of their clients and which was reimbursed on actual basis by the clients as BSS. First of all, they are unable to identify the nature of service except the consideration which is on actual basis. There should be a BSS on whi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... TR 137 (Mad.) 6. In view of the various decided cases, some of which are cited above, it is by now a well settled position that the expenses/charges incurred by the assessee on behalf of the clients and reimbursed on actual basis cannot be part of a taxable value. In the present case, the taxable service was not identified. Accordingly, we hold that the impugned order is not sustainable. 7 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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