CESTAT holds electricity reimbursement not taxable

The CESTAT, Chennai, by its Final Order dated 7 July 2026, partly allowed the appeals of Valmet Technologies Engineering Pvt. Ltd. The Tribunal held that reimbursement of electricity charges does not form part of the taxable value for service tax, rejected invocation of the extended limitation period for want of suppression, and set aside the corresponding demands and penalties while sustaining only a limited denial of CENVAT credit.