Per AJAYAN T.V.

1. Thulasidas Khimji, the Appellant herein, has assailed the impugned Order in Appeal No.652/2016 (STA-I) dated 22.11.2016 (impugned order), whereby the Appellate Authority has allowed the Department’s Appeal by way of remand.

2. Brief facts are that the appellants is licensed under Customs Act as Customs House Agent and registered with the Service Tax Commissionerate for providing Custom House Agent service. During the course of audit conducted by the Internal Audit party of the Service Tax Commissionerate, it was noticed that the Appellant, apart from collecting charges for providing CHA service, had also collected IAAI Charges, Delivery order charges/Air freight charges, EDI charges, survey charges, warehousing charges, steamer agent charges, container freight station charges and terminal handling charges. The Appellant had not paid service tax on these charges claiming these to be reimbursable expenditure not leviable to service tax. The Department citing Rule 5(1) of the Valuation Rules to contend that expenditure or cost incurred by service provider in the course of providing taxable service is includible in the taxable value and contending that the Appellant