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TMI Blog2023 (11) TMI 897X X X X Extracts X X X X X X X X Extracts X X X X ..... that consumption of services within Special Economic Zone is intended to bear the utilization by the entities within the special economic zone. By no stretch it can be stated that it intends to restrict such exemption only to the extent that its consumption to be within the geographical boundaries of Special Economic Zone. The Tribunal in the case of M/S. VISION PRO EVENT MANAGEMENT VERSUS CCE ST, CHENNAI [ 2018 (7) TMI 334 - CESTAT CHENNAI] had also considered the issue whether exemption from Service Tax is eligible when the services are availed outside to the SEZ zone, where it was held that The event was held outside the SEZ unit. Even if the event is held outside, since the services were for advertisement of product of SEZ, the services provided is to be considered as consumed within SEZ. It also needs to be mentioned that for availing the services, the SEZ has to get these services approved by the Development Commissioner. The department then cannot contend that these services are not eligible for refund since these are not consumed within SEZ. From the above discussions, we are of the considered opinion that the denial of benefit is unjustified. The impugned ord ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he SEZ zone also and there is no geographical limitation in the case of input services. Section 51 of the SEZ ACT was also relied upon by the Ld. counsel to argue that the said Section gives an overriding effect and therefore the benefit of exemption as per the Notification ought to be granted. The decision in the case of M/s. SRF Ltd. Vs. Commissioner of Central Excise [2018 (6) TMI 387-CESTAT NEW DELHI] was relied to argue that on the very same issue in regard to GTA Services, the Tribunal has held that even if it is availed outside the SEZ zone the exemption would be available. Section 26 of the SEZ Act provides that all taxes and duties are exempt under SEZ unit. The decision in the case of M/s. Vision Pro Event Management vs. Commissioner of Central Excise Service Tax [2018 (7) TMI 334-CESTAT CHENNAI] was relied to argue that even if services in the nature of advertisement of product of SEZ etc., are provided outside the SEZ zone the same is eligible for benefit of exemption. The Ld. counsel prayed that the appeal may be allowed. 3. The Ld. Authorized Representative Ms. Anandalakshmi Ganeshram supported the findings in the impugned order. The Notification No. 4/2004 was a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ngly adjudicated the same. 14. Though in the preset case, the Commissioner while upholding the order of Assistant Commissioner has relied upon certain circular but Section 51 of SEZ Act, 2005 provides the Act to have an overriding effect over the provisions contained in any other Act. Therefore, all the activities relating to Section shall be agreed by the provisions contained in SEZ Act and SEZ Rules. Since this act provides for exemption from service Tax payable under the Finance Act, 1994 on the taxable services provided to a developer or unit to carry on the authorised operations in the said economic zones the unit is entitled for exemption and if any tax liability has been discharged, such unit is entitled for the refund thereof. Further, the order of Commissioner (Appeals) holding that the services rendered by the appellant do not amount to consumption within the Special Economic Zone as is mandate in furtherance of Circular No. 4/2004-ST dated 31st March, 2004 thereby upholding the service tax liability of the appellant is a wrong finding to our opinion as that the said Notification being a conditional exemption Notification Issued under Section 93 of the Finance Act 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the words consumption of services within Special Economic Zone . The period involved is February, 2008. SEZ Act, 2005 has come into force w.e.f. 10-2-2006. Section 26 of the Act provides for various exemptions and concessions to SEZ unit/developers. Section 51 lays down that the SEZ Act will have overriding effect over any other Act for the time being in force. The relevant section is reproduced as under :- 51. Act to have overriding effect - The provisions of this Act shall have effect notwithstanding anything inconsistent therewith contained in any other law for the time being in force or in any instrument having effect by virtue of any law other than this Act. 5.2 The intention of the notification as well as Section 26 of the SEZ Act, is to exempt the taxes/duties payable on goods and services provided to SEZ unit/developer, the supply of goods and services to SEZ being deemed exports. Therefore, taking into consideration the impact of Section 51 of the SEZ Act which provides for overriding effect over any other law, we are of the considered opinion that the benefit of tax exemption cannot be denied by giving a restrictive interpretation to Notification No. 4/200 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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