Case Law Details
We also find that the Board vide its Service Tax instructions F.No.B..43/5/97-TRU, dated 2.7.97 held in para 3.5 that the expenses incurred on account of reimbursable expenses shall not form part of the value of the taxable services. To the same effect is another instruction being Service Tax F.No.B11/98-TRU, dated 7.10.98.
CUSTOMS EXCISE & SERVICE TAX APPELLATE TRIBUNAL,
West Zonal Bench, O-20, Meghani Nagar, Ahmedabad
Date of hearing:23.6.2008
Service Tax Appeal Nos.31, 43, 44 of 2008
Arising out of the order in appeal No.368/2007/Commr(A)/Raj dated 18.1.2.2007 and 17 to 18/2008/Commr(A)/Raj dated 25.1.2008 passed by the Commissioner , Central Excise (Appeals), Rajkot.
Reliance Industries Limited
Vs.
C.C.E.
O R D E R
Per Archana Wadhwa:
All the three appeals are being disposed of by a common order as they involved identical issue. The demand stands confirmed against the appellants on the ground that reimbursable charges incurred by the appellants for traveling allowances to consulting engineers are required to be included in the fees for services so paid by them, for the purpose of service tax. We find that the issue is no more res integra and stands settled by the following decisions of the Tribunal:
a) Scott Wilson Kirkpatrick (I) Pvt. Ltd. vs. C.S.T., Bangalore- 2007 (5) STR 118 (Tri-Bang.)
b) Malabar Management Services Pvt. Ltd. vs. C.S.T.,Chennai –-2008 (9) STR 483 (Tri-Chennai)
c) M/s Autobindo Pharma Ltd. vs. C.C.E.& Customs, Visakhapatnam
2. We also find that the Board vide its Service Tax instructions F.No.B..43/5/97-TRU, dated 2.7.97 held in para 3.5 that the expenses incurred on account of reimbursable expenses shall not form part of the value of the taxable services. To the same effect is another instruction being Service Tax F.No.B11/98-TRU, dated 7.10.98.
3. In view of the above, we set aside the impugned orders and allow the appeals with consequential relief to the appellant(s).
(Dictated and pronounced in the open Court)
