Service tax on reimbursement of expenses

This query is : Resolved

shrishail (Querist)
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22 November 2012 Dear Sir,

We are the Job Worker for textile industries.
We had incurred some expenses on behalf of X companies such as C-TPAT (Customs-Trade Partnership Against Terrorism)expenses. Now X company is going to reimburse the expenses. The query is, shall this expenses applicable for service tax. Should i pay service tax on reimbursement of expenses. If yes on which amount should i pay the service tax

Regards,
Shrishail.

@VaibhavJ

@VaibhavJ (Expert)
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22 November 2012 Hi

When yo are acing as pure agent ST is not applicable, to collec the same form your customers you have to issude Debit Note for that amount only without Service Tax.

Thanks//Vaibhav
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