2008 (10) TMI 105

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....are a Customs House Agent (CHA) registered as such with the department for service tax purpose. The demand of service tax for the period 02-03 to 05-06 is on a differential taxable value of over Rs. 64 lakhs and, for the next financial year [06-07] it is on a differential value of over Rs. 8.2 crores. These demands are under the head "CHA Service". The parallel demand for the period 03-04 to 06-07 on a differential value of over Rs. 67 lakhs is under a different head (BAS). The total demand of differential tax is to the tune of over Rs. 1.1 crores as already noted. It is submitted by the ld. consultant for the appellants that they were paying service tax on 0.25% of the value of the goods, referred to as "handling charges". It is submitted ....

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....er the head "CHA Service". Certain other charges shown in this invoice viz, forms and stamps charges (Rs. 50/-), DEPB processing charges (Rs.150/-), inspection expenses (Rs. 750/-), processing documents (Rs. 500/-) etc. were also collected from the client but service tax under the above head was not paid thereon. Apparently, the said charges were collected in respect of CHA's statutory function and service tax is leviable thereon under the above head. In other words, apparently, an amount of nearly Rs. 1,500/- was kept out of the payment of service tax under the head "CHA service". That the department overlooked this aspect is another matter. For the present purpose, as the appellants have heavily relied on the above invoice in support of t....