Refund of unutilised Cenvat credit is admissible to service exporters, and registration is not a prerequisite for the claim.

An exporter of services may claim refund of accumulated unutilised Cenvat credit under Rule 5 of the Cenvat Credit Rules, 2004, because exported supplies are not dutiable and the credit of input duty or tax is refundable when it cannot be utilised. The absence of registration does not by itself defeat the refund claim where the output service is not liable to duty or tax. On this reasoning, the refund was sustained and the Revenue challenge was rejected.

---

---

Issues: Whether refund of accumulated unutilised Cenvat credit was admissible to an exporter of services under Rule 5 of the Cenvat Credit Rules, 2004, and whether registration was a prerequisite for such refund.

Analysis: The assessee was engaged in export of services and had accumulated unutilised input credit. Since exported goods and services are not dutiable, the credit of duty or tax paid on inputs or input services, if unutilised, was refundable under Rule 5. The absence of registration did not defeat the claim because the output service itself was not liable to duty or tax.

Conclusion: The refund was held admissible and the Revenue's challenge failed.

Final Conclusion: The order granting refund to the assessee was sustained and the Revenue appeal was rejected.

Ratio Decidendi: An exporter is entitled to refund of accumulated unutilised Cenvat credit under Rule 5 where the output supply is not dutiable, and registration by itself is not a condition precedent for such refund.

---