Charge of service tax cannot exceed ‘gross amount charged’

HIGH COURT OF DELHI Intercontinental Consultants & Technorats (P.) Ltd. Versus Union of India W.P. (C) NO. 6370 OF 2008 NOVEMBER 30, 2012 ORDER R.V. Easwar, J. In this writ petition, the petitioner challenges the constitutional validity of Rule 5 of the Service Tax (Determination of Value) Rules, 2006 to the extent it includes re-imbursement of expenses in the value of taxable services for the purposes of levy of service tax. The petitioner also contends, in the alternative that the said rule is ultra vires of the provisions of Section 66 and 67 of Chapter V of the Finance...