2018 (9) TMI 255 - AT - Service Tax

Refund of Service Tax - export of goods and services - Held that - The appellant could not substantiate their claim for refund of service tax paid on various services claimed to have been used in or in relation to export of goods before the authorities below resulting in rejection of the refund claims - in the interest of justice to verify these documents the matter is remanded to the adjudicating authority - appeal allowed by way of remand.

Summary

Issues:
Refund claims rejection based on lack of supporting documents for service tax paid on services used in export of goods.

Analysis:
The case involved two appeals against orders-in-appeal passed by the Commissioner of Central Excise (Appeals), Belapur, Mumbai. The appellant, a merchant exporter, filed refund claims for specific periods under Notification No.41/2012-ST. The refund claims were rejected due to insufficient documentation supporting the service tax paid on services used in or in relation to the export of goods. The appellant appealed the rejection, stating that they now possess all relevant documents, including a Chartered Accountant's certificate, to establish the utilization of service tax paid on services in the export process.

The appellant's advocate argued that they had submitted almost all necessary documents, but certain certificates were missing during the initial claim submission, leading to rejection. The advocate requested a remand to the adjudicating authority for verification of the newly acquired documents. The Revenue's representative acknowledged the lack of supporting documents in the initial submission but had no objection to remanding the case for verification of the newly presented documents.

The Member (Judicial) noted that the appellant failed to substantiate their refund claims before the lower authorities due to missing documentation, resulting in rejection. The appellant submitted a compilation of documents, some of which were presented for the first time before the tribunal. In the interest of justice, the case was remanded to the adjudicating authority for a fresh decision after scrutinizing and verifying the newly submitted documents. The adjudicating authority was instructed to provide the appellant with an opportunity for a hearing during the verification process. The appeals were allowed by way of remand to the adjudicating authority for further review and decision.