Custom, Excise & Service Tax Tribunal
M/S Mitsui Osk Lines Maritime (India) ... vs Commissioner Of Service Tax, Mumbai on 9 July, 2013
IN THE CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL WEST ZONAL BENCH AT MUMBAI COURT NO. I Appeal No. ST/117/06 (Arising out of Order-in-Appeal No. BR(75)14/STC/2006 dated 21.2.2006 passed by the Commissioner of Central Excise (Appeals), Mumbai-I). For approval and signature: Honble Shri P.R. Chandrasekharan, Member (Technical) Honble Shri Anil Choudhary, Member (Judicial) ======================================================
1. Whether Press Reporters may be allowed to see : No the Order for publication as per Rule 27 of the CESTAT (Procedure) Rules, 1982? 2. Whether it should be released under Rule 27 of the : Yes CESTAT (Procedure) Rules, 1982 for publication in any authoritative report or not? 3. Whether their Lordships wish to see the fair copy : Seen of the order? 4. Whether order is to be circulated to the Departmental : Yes authorities? ====================================================== M/s Mitsui OSK Lines Maritime (India) Pvt. Ltd. Appellant Vs. Commissioner of Service Tax, Mumbai Respondent Appearance: None for Appellant Shri Rakesh Goyal, Addl. Commissioner (AR) for Respondent CORAM: SHRI P.R. CHANDRASEKHARAN, MEMBER (TECHNICAL) SHRI ANIL CHOUDHARY, MEMBER (JUDICIAL) Date of Hearing: 09.07.2013 Date of Decision: 09.07.2013 ORDER NO. Per: P.R. Chandrasekharan
The appeal is directed against Order-in-Appeal No. BR(75)14/STC/2006 dated 21.2.2006 passed by the Commissioner of Central Excise (Appeals), Mumbai-I.
2. A Service Tax refund claim of Rs.21,03,610/- filed by M/s Mitsui OSK Lines Maritime (India) Pvt. Ltd., Mumbai, the appellant herein, was rejected by the Revenue vide order dated 5.9.2005 on the ground that during the period March, 2003 to Nov, 2003, there was no exemption exempting export of services wherein payment was received in convertible foreign exchange and therefore, the appellant is not liable for the benefit of any tax exemption. In the instant case, the appellant had exported manpower supply services to their foreign counterpart and obtained consideration in convertible foreign exchange. The appeal filed by the appellant before the lower appellate authority was rejected and hence, the appellant is before us.
3. None appeared on behalf of the appellant. In the grounds of appeal, the appellant has urged that when they have received the consideration for the services rendered in convertible foreign exchange, they are eligible for refund of the Service Tax paid under protest in terms of Circular No. ST-56/3/2003 dated 24.4.2003.
4. The learned Addl. Commissioner (AR) appearing for the Revenue fairly submits that in terms of the said Circular dated 25.4.2003, the Board had clarified that the Service Tax is destination-based consumption tax and it is not applicable on export of services. Export of services would continue to remain tax-free even after withdrawal of Notification No. 6/99 dated 9.4.1999.
5. After carefully considering the submissions and perusal of the records, we are of the view that the appellant is rightly eligible for consideration of the refund claim in accordance with law and the lower authorities should not have rejected the refund outright. Accordingly, we direct the jurisdictional Assistant Commissioner of Central Excise to consider the appellants claim for refund of Service Tax of Rs.21,03,610/- paid by them under protest in respect of export of services in accordance with law.
6. The appeal is allowed.
(Dictated and pronounced in Court)
(Anil Choudhary) (P.R. Chandrasekharan)
Member (Judicial) Member (Technical)
Sinha
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