Excess Baggage Charges Taxable as Air passenger transport: CESTAT Delhi

Air France Vs Commissioner of Service Tax (CESTAT Delhi) CESTAT Delhi held that the collection of excess baggage charges would be leviable to service tax under the category of transport of passengers by air and not under transportation of cargo by air. Facts- The appellant is a foreign airline operating in India as a branch office approved by the Reserve Bank of India. The appellant provides services under the category of “transport of passengers by air” made taxable u/s. 65(105)(zzzo) of the Finance Act,1994 w.e.f. 01.05.2006 and services of “transport of goods by aircraft” made taxab...