Service Tax
TRT-2025-
Cestat Chennai
Date:-28-02-23
In:-
Issue Favourable to Tax Payer ?:-
Order Date – 28 February 2023
Parties: M/s. Benchmark Consultants Vs The Commissioner of GST & Central Excise
Facts –
- The Appellant, M/s. Benchmark Consultants, was found to be not including the taxable value of the amounts of reimbursements received by them for their services.
- Show cause notice was issued during the period 2005-06 to 2009-10 proposing to demand service tax on the reimbursable amounts received by them along with interest and for imposing penalties.
Issue –
- Whether service tax can be demanded on reimbursable expenses?
Order –
- The Tribunal held that from the show cause itself it is clear that the demand is made for the non-inclusion of reimbursable expenses in the taxable value for discharge of service tax liability.
- The issue is settled in the case of UOI Vs Intercontinental Consultants and Technocrats by the Apex Court. Following the same, the demand cannot sustain and the appeal is allowed.
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