https://www.taxtmi.com/caselaws?id=768718 CESTAT Chennai held that fixed facility charges (FFC) collected by appellant for supplying tanks to store liquid gases are not liable to service tax. The Tribunal relied on its earlier decision in appellant's favor for the period May 2008 to March 2009, where it was established that FFC charges are subject to excise duty and must be included in transaction value for excise purposes per Board circular. Since excise duty was already discharged on FFC and Board circular clarified these charges are part of excise duty assessment, they cannot be treated as consideration for supply of tangible goods service. Service tax demand on FFC was held unsustainable and appeal was allowed. en-us Tue, 08 Apr 2025 00:00:00 +0530 Sat, 12 Apr 2025 08:39:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=768718 CESTAT Chennai held that fixed facility charges (FFC) collected by appellant for supplying tanks to store liquid gases are not liable to service tax. The Tribunal relied on its earlier decision in appellant's favor for the period May 2008 to March 2009, where it was established that FFC charges are subject to excise duty and must be included in transaction value for excise purposes per Board circular. Since excise duty was already discharged on FFC and Board circular clarified these charges are part of excise duty assessment, they cannot be treated as consideration for supply of tangible goods service. Service tax demand on FFC was held unsustainable and appeal was allowed. Case-Laws Service Tax Tue, 08 Apr 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=768718