2017 (3) TMI 1414 - AT - Service Tax

Refund claim - Rule 5 of CCR read with N/N. 27/2012-CE(NT) dt. 18/06/2012 - rejection on the ground that the appellant had not taken registration - Held that - The issue whether service tax registration is mandatory for refund of accumulated CENVAT credit of service tax has been finalised in the judgments mPortal India Wireless Solutions (P.) Ltd. Versus Commissioner of Service Tax 2011 (9) TMI 450 - KARNATAKA HIGH COURT , where it was held that Registration not compulsory for refund - the rejection of refund is unjustified - appeal allowed - decided in favor of appellant.

Summary

Issues: Refund claim rejection based on lack of registration and improper documents.

Analysis:
The appellant, a private limited company, filed refund claims for service tax paid on input services used for providing output services, as they were exporting services. The claims were rejected by the original authority citing improper documents and lack of registration. The Commissioner(Appeals) upheld the rejection for the period without registration. The appellant argued that registration was obtained later, and service tax registration is not mandatory for refund of accumulated CENVAT credit, citing relevant case laws. The appellant was granted a refund for the period before registration by the Mumbai Division of the Department. The AR reiterated the findings in the impugned order. The Tribunal held that service tax registration is not mandatory for refund of accumulated CENVAT credit, following the judgments cited by the appellant. Quoting the High Court's observation, the Tribunal set aside the rejection of the refund, allowing the appeals with consequential reliefs, if any.