The Ahmedabad Bench of the Customs, Excise add Service Tax Appellate Tribunal (CESTAT), granted refund and observed that notification allowing refund for Custom House Agency (CHA) Services is not “Service Specific”.
In the present case the lower authorities have denied the refund of service tax in terms of Notification No. 17/09-ST on the ground that the refund is admissible on CHA Service, whereas the appellant, Laviosa Trimex Industries Pvt Ltd, has received various other services which are other than CHA services.
Mahesh Basutkar, the Assistant Account Manager of the Company submitted that the bills raised by the CHA clearly mentioned the custom house agency charges, therefore, there is no dispute that the service received by the appellant are CHA Service.
He also submitted that the relevant invoices of CHA which bears the shipping bill No. which correlates with the export consignment and that since the refund claim was made against the CHA service, received by the appellant, refund cannot be rejected.
The Coram comprising Ramesh Nair, Judicial Member and Raju, Technical Member observed that “Even if any other service provided by CHA, the refund claim is admissible as per the Notification No. 17/09-ST which allow the refund in respect of services provided by CHA that means even if any service which even does not fall under the CHA Service but the same is provided by CHA, the same will be admissible for refund. In the Notification, it is not service specific but it is a service provider specific, hence any service provided by CHA, the refund is admissible.”
“Accordingly, we are of the view that the ground taken by the lower authorities for denying the refund is absolutely against the statutory provision under the Notification No. 17/09-ST, therefore, the appellant is rightly entitled for the refund” the Tribunal noted.
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