2017 (1) TMI 235 - AT - Service Tax

Refund claim - N/N. 41/2007 - Service Tax paid under the category of port services on documentation charge, terminal handling charge, surrender charges - Held that - if there is a findings that there was export of goods and services utilised were in respect of the very same exported goods, the department was not correct in rejecting the refund claims - appellant eligible for refund - appeal allowed - decided in favor of appellant.

Summary

Issues involved:
Refund of Service Tax paid by service providers for services rendered to the appellant.

Analysis:

Issue 1: Refund of Service Tax
The appeal was against an Order-in-Appeal passed by the Commissioner of Central Excise regarding the refund of Service Tax paid by the service providers for services rendered to the appellant. The appellant claimed to have availed CENVAT credit of the Service Tax paid under the category of 'port services' on various charges and utilized the same for exporting finished goods. The Revenue contended that the refund provision during the relevant period did not allow for refund on certain charges. However, upon review, it was found that both lower authorities had erred in their conclusions. It was established that the appellant had utilized services from service providers for exporting goods, and there was no dispute regarding the export of goods. The Tribunal noted that when services were utilized for the exported goods, the department was incorrect in rejecting the refund claims. The Tribunal referenced a previous judgment by the same Bench in a similar case, supporting the appellant's eligibility for a refund of the Service Tax paid on services under the category of 'port services' on specific charges.

Conclusion
The impugned order was set aside, and the appeal was allowed with consequential relief, affirming the appellant's eligibility for a refund of the Service Tax paid on services rendered to them under the category of 'port services' on documentation charge, terminal handling charge, and surrender charges.

This detailed analysis of the judgment provides a comprehensive understanding of the issues involved and the Tribunal's decision regarding the refund of Service Tax paid by service providers for services rendered to the appellant.