Export service tax refund is confined to the exporter who avails the service, not the manufacturer.

Refund of service tax under Notification No. 41/2007-Service Tax was confined to the exporter who availed and used the input services for export of goods. The benefit was not available to a different person, including the manufacturer supplying the goods, unless the notification expressly conferred such entitlement. On that construction, the manufacturer could not claim refund of tax paid on services used by the merchant exporter, and the refund claims failed.

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Issues: Whether refund of service tax paid on input services used for export could be claimed by the manufacturer when the services were availed for export by the merchant exporter under Notification No. 41/2007-Service Tax dated 06.10.2007.

Analysis: The notification was read as conferring refund entitlement on the exporter who received and used the service for export of goods. The entitlement was held not to extend to a person other than the exporter, even if that person was the manufacturer supplying the goods for export. The Tribunal also relied on the view that the benefit of such refund or rebate under the notification is restricted to the exporter and not to the manufacturer.

Conclusion: The manufacturer was not entitled to claim refund of service tax paid on services availed by the exporter for export of goods.

Final Conclusion: The refund claims of the assessee failed, and the Revenue's objections succeeded.

Ratio Decidendi: A refund exemption notification for export services is available only to the exporter who avails the service for export and cannot be claimed by a different person, such as the manufacturer, absent express entitlement.

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