https://www.taxtmi.com/caselaws?id=779655 CESTAT held that diesel reimbursed separately under generator hire contracts was not part of the taxable value because it was procured on behalf of customers and had no nexus with the service of supplying tangible goods on hire. It noted that Rule 5 of the Service Tax (Determination of Value) Rules, 2006 had been held ultra vires Section 67, and the later amendment to Section 67 applied only from 14 May 2015. The tribunal also found that the assessee had disclosed the receipts in its records and returns, so there was no fraud, suppression, or intent to evade tax. The extended period and penalty were therefore not sustainable. en-us Tue, 30 Sep 2025 00:00:00 +0530 Fri, 10 Oct 2025 08:44:06 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=779655 CESTAT held that diesel reimbursed separately under generator hire contracts was not part of the taxable value because it was procured on behalf of customers and had no nexus with the service of supplying tangible goods on hire. It noted that Rule 5 of the Service Tax (Determination of Value) Rules, 2006 had been held ultra vires Section 67, and the later amendment to Section 67 applied only from 14 May 2015. The tribunal also found that the assessee had disclosed the receipts in its records and returns, so there was no fraud, suppression, or intent to evade tax. The extended period and penalty were therefore not sustainable. Case-Laws Service Tax Tue, 30 Sep 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=779655