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TMI Blog2024 (3) TMI 1283X X X X Extracts X X X X X X X X Extracts X X X X ..... as freight would be consideration and the appellant has paid the Service Tax on the commission received as Steamer Agent. The amount collected is some excess of ocean freight as they were not able to quantify the exact freight to be paid to shipping lines. The ocean freight cannot be subjected to levy of Service Tax as it is not a consideration for Steamer Agency Services. The Department itself admits that these are amounts collected in excess of ocean freight. There is no provision for levy of Service Tax on ocean freight. Further, as per the decision in the case of MESSRS SAL STEEL LTD. 1 OTHER (S) VERSUS UNION OF INDIA [ 2019 (9) TMI 1315 - GUJARAT HIGH COURT ], the Hon ble High Court has held that the demand of Service Tax on ocean frei ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ce Tax on the excess amount collected from the clients. The Department was of the view that the said amount is liable to Service Tax. The Show Cause Notice dated 25.02.2013 was issued to the appellant proposing to demand Service Tax on excess amount collected to the tune of Rs.85,035/-. After due process of law, the Original Authority confirmed the demand of Rs.85,035/- on excess ocean freight collected by the appellant during the period from April 2012 to September 2012 along with interest and imposed penalty under Section 76 and 77 of the Finance Act, 1994. Aggrieved by such order, the appellant filed appeal before the Commissioner (Appeals) who upheld the same. Hence this appeal. 2.1 The Ld. Finance Manager of the appellant company Shri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... i N. Satyanarayanan appeared for the Department. The findings in the impugned order were reiterated. 4. Heard both sides. 5. The issue to be considered is whether the appellant is liable to pay Service Tax on excess amount collected towards the ocean freight. 6.1 On perusal of the Show Cause Notice as well as the order passed by the Original Authority, we are not able to find as to the category under which the Service Tax demand has been confirmed. In the Show Cause Notice, although it is alleged that the appellant has collected excess amount towards ocean freight, it is not stated in the Show Cause Notice whether such amount would fall under the category of Steamer Agent Services, Business Support Services, Custom House Agent Service or Bu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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