2024 (1) TMI 641

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....stoms agents and are not involved any transportation or cargo/container of Indian ports to foreign ports. The appellants were procuring space in ships for transportation of cargo/containers of their clients. They were earning a margin of difference between the amount charged from their clients and paid to the shipping lines and the same was reflected in their balance sheet as Ocean Freight trading income. The Revenue alleged that the said income is commission income earned by the noticee and the same has chargeable to the service tax under the category of "Business Auxiliary Service" as defined under section 65 (19) of the Central Excise Act, 1944. The Learned Counsel pointed that, the issue is covered by the following decision. (i....

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....ch Meridian Logistics (India) Pvt. Ltd. (supra) in paragraph no 11 to 14 and following has been observed. "11. Slots may be contracted for by the shipper or its agent with the shipping line through the steamer agent. Implicit is a uni-directional flow of consideration because the space belongs to the shipping line. Steamer agent or agent of shipper may earn commission in such a transaction. Leaving that situation aside, the contention of the appellant is that it is a "multi-model transport operator' which entails a statutorily assigned role in cross-order logistics. According to section 2 of the Multi-model Transportation of Goods Act, 1993. (m) "multimodel transport operator" means any person who- (i) concludes a....