TaxTMI 
TaxTMI 
2019 (2) TMI 143
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...., Shri K.S. Naveen Kumar, Shri N. Anand, Advocate (s) For the Respondent(s) : Shri A.V.L.N Chary, Superintendent (AR) ORDER PER: P. VENKATA SUBBA RAO The appellant herein is a courier company engaged in providing courier services. In addition, they have provided, as per the business practice, services as a co-loaders to another courier company and not to individual customers. Show cause notice....
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.... business practice and this issue was examined by the CBEC when the courier services was introduced as a taxable services. CBEC circular No. 341/43-96-TRU dated 28.02.2006 issued after the period of 2006-2007, it has been specifically clarified in para 15 & 16 as follows: 15. It has been pointed out that in some cases one courier agency, who undertakes to deliver the documents, goods or articles....
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....mer. In this case, the courier agency being not a customer as such, the service provided by co-loader to the courier agency is not chargeable to service tax. It is significant to point out that the charges of the co-loaders to the courier agency for in-transit movement of goods, documents or articles are in any case ultimately recovered by the courier agency from the customer and these charges a....
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....270 (Tri. Del.)] in which, it was held that the service of co-loaders cannot be taxed under Business Auxiliary Service since, the service tax under courier service stands discharged by the first courier agency and consideration for last leg delivery of parcels received from such first courier on principal to principal basis, it cannot be said that appellants have carried out any service on behalf ....