2015 (9) TMI 1582 - AT - Service Tax

Refund claim - credit arising prior to registration, whether refundable in terms of Rule 5 of CCR? - Held that - CENVAT credit which arose prior to registration without there being possibility of utilization thereof is refundable - the decision in the case of mPortal India Wireless Solutions Pvt. Ltd. Vs. Commissioner 2011 (9) TMI 450 - KARNATAKA HIGH COURT followed where it was held that Registration not compulsory for refund - appeal dismissed - decided against Revenue.

Summary

The Appellate Tribunal CESTAT, Chennai ruled that CENVAT credit arising before registration and not usable is refundable under Rule 5 of CENVAT Credit Rules, 2004. The Revenue appeal was dismissed based on a precedent set by the Karnataka High Court in the case of mPortal India Wireless Solutions Pvt. Ltd. Vs. Commissioner 2012 (27) STR 134 (Kar.).