Self-Certification by Exporter or CA Enough to Prove Nexus for Refund on Export Services: CESTAT [Read Order]
The tribunal referred to CBEC Circular No. 120/01/2010-ST, which introduced a self-certification process for exporters to certify the link between input services and exports
![Self-Certification by Exporter or CA Enough to Prove Nexus for Refund on Export Services: CESTAT [Read Order]](https://images.taxscan.in/h-upload/2025/06/11/2042345-export-services-cestat-refund-taxscan.webp "Self-Certification by Exporter or CA Enough to Prove Nexus for Refund on Export Services: CESTAT [Read Order]")
The Chennai Bench of Customs, Excise and Service Tax Appellate Tribunal ( CESTAT ) held that self-certification by the exporter or a Chartered Accountant (CA)is sufficient to establish the nexus between input services and export services for claiming refund of unutilized CENVAT credit. Cargotec India Pvt. Ltd, appellant-assessee, was a 100% Export Oriented Unit under the...
The Chennai Bench of Customs, Excise and Service Tax Appellate Tribunal ( CESTAT ) held that self-certification by the exporter or a Chartered Accountant (CA)is sufficient to establish the nexus between input services and export services for claiming refund of unutilized CENVAT credit.
Cargotec India Pvt. Ltd, appellant-assessee, was a 100% Export Oriented Unit under the Software Technology Park Scheme providing IT software services. It filed refund claims for unutilized CENVAT credit on exports from April to June 2011 and July to September 2011.
The original authority approved only part of the refund and rejected the rest, stating services were done from unregistered premises and there was no link between input and output services. The Commissioner (Appeals) upheld this decision and dismissed the refund claims.
A single member bench of M.Ajit Kumar ( Technical Member) examined the assessee’s claim regarding the nexus between input and output services in respect of a refund of ₹1,19,828. It noted that the appellant relied on Circular No. 120/01/2010-ST, which introduced a self-certification mechanism, allowing exporters or their Chartered Accountants to certify the correlation between input services and exports.
The appellate tribunal also referred to the CESTAT ruling in Infosys Ltd. v. Commissioner of Service Tax, Bangalore, which supported acceptance of such certification.
It found that the original orders were cryptic and failed to explain why the input services could not be correlated with the output services. The Commissioner (Appeals) attempted to support the original orders by discussing legal provisions but did not examine the factual usage of input services. Citing these deficiencies and the relevant circular and case law, the CESTAT set aside the impugned order and allowed the appeal.
In short,the appeal was disposed of.
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