Stay abreast with the latest developments in the professional domain along with in-depth analysis through the monthly BCA Journal. Get access to an engaging library of researched publications from the BCAS stable.
Learn MoreLorem Ipsum has been the industry's standard dummy text ever since the 1500s, when an unknown printer took a galley of type and scrambled it to make a type specimen book.
Learn MoreLorem Ipsum has been the industry's standard dummy text ever since the 1500s, when an unknown printer took a galley of type and scrambled it to make a type specimen book.
Learn MoreA voluntary organisation established on 6th July 1949, BCAS has presently more than 9,000 members from all over the country. BCAS is a principle-centered and learning-oriented organisation promoting quality service and excellence in the profession of Chartered Accountancy.
Learn MoreLorem Ipsum has been the industry's standard dummy text ever since the 1500s, when an unknown printer took a galley of type and scrambled it to make a type specimen book.
Learn MoreLorem Ipsum has been the industry's standard dummy text ever since the 1500s, when an unknown printer took a galley of type and scrambled it to make a type specimen book.
Learn More
6. Reimbursements :
(a) Includibility in taxable value — Appellant rendering
Business Auxiliary Service of promotion of loans of client bank — Service Tax
paid without including reimbursements — Service charges collected from bank as
consideration for Business Auxiliary Service constituting the gross amount
charged by service provider for such service — Impugned amounts being
reimbursement of salaries and infrastructural expenses, held as not to be
termed as amounts charged by service provider – Tribunal decisions and C.B.E.
& C. clarifications on non-taxability of reimbursement of expenses, applicable
— Impugned orders set aside — S. 67 of the Act.
[Malabar Management Services Pvt. Ltd. V. CST,
(2008) 9 STR 483 (Tri — Chennai)]
(b) Service Tax demanded on ‘other income’ and
‘write-backs’ — Impugned order holding that actual expenses reimbursed
eligible for abatement, but the same disallowed citing non-production of
documentary evidences — Expenditure incurred on behalf of client and not
directly relatable to service rendered, not liable to Service Tax —
Information and documents produced not examined in impugned order —
Expenditure details mentioned in books of accounts and charge on suppression
of facts not justified — Impugned order containing certain defects and hence,
set aside — Matter remanded for de novo adjudication — S. 67 and
Provision to S. 73 of the Act.
Reimbursement of expenses — It was held that Service Tax
can be charged on amount received for services rendered — Expenditure incurred
on behalf of client and not directly relatable to service rendered, not liable
to Service Tax — S. 67 of the Act.
[GAC Shipping (India) Pvt. Ltd. (2008) 9 STR 524
(Tri — Bang.)]