TaxTMI 
TaxTMI 
Service tax applicability
Guest
A Clearing % fporwarding Co. charges the follwing amounts in its bills - 1.Freight and Related Charges : Sea Freight Ex-Works Charges Air Freight Export Destination Charges BAF Profit Share Fuel Surcharge CAF Other Surcharges Overweight Charges Security Surcharge ACD Charges AWC Charges X - Ray Charges ISPS 2.Local and Other Charges : Inland Haulage Charges THC Do Fees Export Origin Charges Liner Charges Import Destination Charges Container Cleaning Charges Detention Charges BL Fees Destuffing Charges Repo Charges Ground Rent CC Fees Handling Charges Agency Charges Documentation Charges Shrink Wrapping Charges Brokerage CWC Charges AWB Fees GSP Charges Pallatization Charges Forklift Charges NOC Charges Lashing Charges DEPB Handling Charges Stuffing Charges Loading & Unloading Charges Cartage Charges Demurrage Charges Deconsolidation Charges Customs Clearance Charges Marking & Labeling Charges CMC Charges Concor Charges Airline Charges Fumigation Charges Rail Out Charges Crane Charges Terminal Charges Via Charges AAI Charges FCR Charges Advance Licence Charges Measurment Charges 3.Reimbursement of Expenses : IAAI Charges Customs Duty What are the amounts and the rates on which service tax is leviable ?
Pure agent exclusion: reimbursed expenses are excluded from service tax if Determination of Value Rules conditions are met. Taxability of charges by a clearing and forwarding firm turns on whether billed items are part of the provider's consideration or pass-through reimbursements. Reimbursed expenses are not included in the taxable value if the provider acts as a pure agent and complies with the conditions set out in the Service Tax (Determination of Value) Rules, 2006; otherwise those amounts form part of the service tax base. (AI Summary)