2014 (1) TMI 1044

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....services rendered to port users and for undertaking this work, the schedule giving details of minimum guaranteed amount of income drawn by the appellant and share of the GOAP as percentage of income comes as part of the Agreement. While all the port dues collected by the appellant minus an amount payable by the GOAP was considered as a separate fund, the expenditure which are to be incurred by the appellant on various aspects of the port such as dredging of harbour, periodic hydrographic survey, etc., are required to be met out of the port funds so collected by a mutual understanding between the appellant and the GOAP. In a particular year, if the actual expenditure happened to be more than the amount so collected, such expenditure is to be....

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....ractors and, therefore, this cannot be claimed as Service Tax. 3. The learned Additional Commissioner (AR) submits that this amount has been paid by the GOAP to the appellant for their function as a commission agent of the GOAP. He submits that the appellant was acting as an agent of the GOAP in rendering port maintenance in the form of maintenance, dredging, hydrographic surveys, etc. He also submits that it is evident from the Agreement that port dues were collected by the appellant in the name of the Government of Andhra Pradesh and the remuneration received @ 15% of the actual expenditure incurred are shown as income in their Balance Sheet. Further, this remuneration was in addition to the actual expenditure incurred which would g....