2009 (8) TMI 740 - AT - Service Tax

Refund - rejected on the ground of limitation - claim of refund within sixty days under Notification No. 41/2007-S.T - Notification No. 41/2007-S.T., dated 6-10-2007 was amended by the Notification No. 32/2008-S.T - sixty days was substituted with six months - CBEC vide Circular No. 112/6/2009-S.T clarified that claim could be filed till 31st December, 2008 - refund claim was filed prior to 31st December, 2008 - Circular was not taken into consideration by the lower appellate authority - order is set aside and the matter is remanded to the adjudicating authority

Summary

The Appellate Tribunal CESTAT, Kolkata heard an appeal against the rejection of a refund claim under Notification No. 41/2007-S.T. due to a time limitation issue. The appellants argued that the notification was amended by Notification No. 32/2008-S.T., extending the filing period to six months. They also cited a CBEC Circular supporting their claim. The Revenue contended that the refund was rightly denied as it was filed after the stipulated period. The Tribunal found that the lower appellate authority did not consider the CBEC Circular, leading to the rejection of the refund claim. The Tribunal set aside the impugned order and remanded the matter to the adjudicating authority for reconsideration. The case highlights the importance of considering all relevant notifications and circulars in similar refund claim cases.