https://www.taxtmi.com/caselaws?id=776612 The CESTAT Mumbai upheld the adjudicating authority's decision dismissing tax liability on demurrage charges received by the appellant from HPCL. It was held that the declared service under section 66E of the Finance Act, 1994, did not extend to demurrage, which is linked to transportation of goods by sea and is not taxable. The taxability of declared services applies only to standalone agreements, not contingent liabilities arising as part of another service. The appeal by the Commissioner of Customs was dismissed, affirming that demurrage charges are not subject to service tax under the impugned provisions. en-us Tue, 12 Aug 2025 00:00:00 +0530 Wed, 13 Aug 2025 11:54:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=776612 The CESTAT Mumbai upheld the adjudicating authority's decision dismissing tax liability on demurrage charges received by the appellant from HPCL. It was held that the declared service under section 66E of the Finance Act, 1994, did not extend to demurrage, which is linked to transportation of goods by sea and is not taxable. The taxability of declared services applies only to standalone agreements, not contingent liabilities arising as part of another service. The appeal by the Commissioner of Customs was dismissed, affirming that demurrage charges are not subject to service tax under the impugned provisions. Case-Laws Service Tax Tue, 12 Aug 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=776612