Reimbursements for expenses like hotels and food during service provision are not taxable; tax demand on these set aside.

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Valuation - inclusion of reimbursement of expenses - The amount collected as imprest from the customers is towards various expenditure incurred during the provision of services such as hotel, food and telephone bills. This expenditure or costs incurred by the service provider in the course of providing the taxable service cannot be considered as the gross amount charged by the service provider "for such service" provided by him, and accordingly not taxable u/s 67 - Demand set aside - AT....