GST/Excise & Customs: Where assessee, a custom house agent, was engaged in booking space for cargo transportation in airlines/ship and whenever consignment of customer was sent using space booked, it charged from customer freight charges for transportation of goods, service provided by assessee not covered under category of ‘business auxiliary service’
Classification of service – Section 65(19) of the Finance Act, 1994 – Business auxiliary service.
The Assessee, a custom house agent, was engaged in booking space for cargo transportation in airlines/ship – It paid charges for space booking to respective airlines/steamer agents.
Whenever consignment of customer was sent using space booked, it charged from customer freight charges for transportation of goods by respective airlines/steamer agents.
Whether services provided by assessee would fall under category of ‘business auxiliary service’ as pleaded by revenue – Held, no
Citation: [2018] 93 taxmann.com 197 (Chennai – CESTAT)