01. Container Cargo movers Service Provier's invoice covers 95% reimbursement and only 5% Service charges (Their income). Hence they are charging Service Tax on the 5% (Service Charges).
02. The reimbursements are in four heads ie Shipping Freight 70%) Transport (10%), Loading & unloading (3%), Harbour dues (12%).
03. The above four services are received from different service provider and average the cost per Cubic meter
04. Container Cargo movers Service Provier raise the invoice to his customer, mentioning the above four services are reimbursement and Service charges 5%. He is charging Service Tax 14.5% on the 5% of the Service Charges.
05. But the Service tax department says that he has to pay service Tax on the total invoice value, including the reimbursement. Please advice
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