Pl confirm ocean freight 1.5 pc of total import for the period 23.04 to 30.06 of shipping bill vide not of 14151617dt 13.04.17

[nandankumar roy]

Pl confirm whether we should pay or delay as audited upto June earlier but same team came for recovery .pl help.regards n k roy 9427181604

AI Summary

Debate on Service Tax for Ocean Freight: Double Taxation Concerns Under Reverse Charge Mechanism for April 2017 Shipping Bill A user inquired about the obligation to pay service tax on ocean freight, specifically 1.5% of the CIF value, for a shipping bill dated April 13, 2017. The issue arose due to an audit team demanding payment. Another participant advised that while 1.5% might have been paid as Basic Customs Duty (BCD) and Countervailing Duty (CVD) during import, paying under Reverse Charge Mechanism (RCM) would result in double taxation, which is constitutionally invalid. The advice was to either contest the tax legally or pay and claim credit, especially if the amount is substantial.