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TMI Blog2019 (9) TMI 531X X X X Extracts X X X X X X X X Extracts X X X X ..... ugned order to the extent of Service Tax on reimbursement is liable to be set aside - appeal allowed - decided in favor of appellant. X X X X Extracts X X X X X X X X Extracts X X X X ..... C&F Agent Service for levy of Service Tax. Hence, the present appeal. 3. Heard both the parties and perused the records. 4. Learned Counsel for the appellant submitted that the impugned order is not sustainable in law as the same has been passed without giving any specific finding on each of the reimbursable expenses. He further submitted that the only question in this appeal is whether the expenses viz. Godown rent, damage allowance, loading charges, demurrage charges are includable in the value of service of the C&F Agent. He further submitted that the appellants have received reimbursement of the rent of ₹ 13,83,944/- for the Godown hired for storage of cement belonging to ACC and this is not a consideration for rendering C&F Age ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nsideration for C&F Agent Service are not includable in the value of taxable service. He further argued that this issue is no more res integra and has been settled by the Hon'ble Apex Court in the case of UOI Vs Intercontinental Consultants and Technologies Pvt. Ltd. [2018 (10) GSTL 401 (SC)] wherein it has been held that the reimbursement of expenses are not includable in the value of taxable service. He further submitted that the SCN was issued on 26.09.2005 proposed to demand Service Tax for the period from 01.04.2000 to 31.08.2004 by invoking the extended period of limitation. He further argued that the appellant had a bona fide belief that the reimbursements of expenses were not liable to Service Tax. Further, the issue relates to inte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hough has set aside the demand on TDS and on reimbursement of certain expenditure but he has not given any specific finding on each of the reimbursable expenses viz. Godown rent, damage allowance, loading charges and demurrage charges. Further, we find that all these expenses were reimbursed by the appellant for the various purposes incurred for carrying on the business of C&F Agent Service. Further, we find that issue involved is no more res integra in view of the judgment of the Hon'ble Apex Court cited supra wherein in Para 24 & 29 it has been observed as under: "24. In this hue, the expression 'such' occurring in Section 67 of the Act assumes importance. In other words, valuation of taxable services for charging service tax, the autho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of providing or agreeing to provide a taxable service. Thus, only with effect from May 14, 2015, by virtue of provisions of Section 67 itself, such reimbursable expenditure or cost would also form part of valuation of taxable services for charging service tax. Though, it was not argued by the Learned Counsel for the Department that Section 67 is a declaratory provision, nor could it be argued so, as we find that this is a substantive change brought about with the amendment to Section 67 and, therefore, has to be prospective in nature." 6.1. Since the issue is settled in favour of the assessee by the decision of the Hon'ble Apex Court cited supra therefore by following the ratio of the above said decision, we are of the considered view tha ..... X X X X Extracts X X X X X X X X Extracts X X X X
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