Refund claim - time bar

[Asked by Guest]

We submited a claim for refund of service tax U/N 41/2007 as ammended, on commission, paid to the agent situated to foreign country, but we failed to meet the stipulated time limit i.e. 60 days / 6 months from the end of the quarter because of the payment, made to agent. The DC has rejected the claim on the above ground. Now what to do for us Appeal or not ? Guide us about the chance of refund.

Dear Sir, Exemption under Notification No. 41/2007 -S.T. not admissible if refund claim filed beyond 60 days/6 months as the case maybe). Thanks, Pradeep Khatri, (Consultant - Indirect Taxation), [email protected]

Further, it is advisable to file an appeal before concerned authority to keep the matter alive. In my opinion it is not possible to obtain refund, though at a later date, in appeal, the Tribunal may allow the same. Regards, Pradeep Khatri, Consultant - Indirect Taxation, [email protected]

[Mukesh Kumar]

You may also take the ground of general period of limitation of one year unde section 11B of the central excise act, 1944, as applicable to service tax

[Madhukar N Hiregange]

Advisable to agitate the matter as the longer period maybe accepted in future.

AI Summary

Refund time bar on service tax claims can be contested by appeal and limitation based arguments to seek condonation.
Refund claim for service tax on commissions was denied as time barred under Notification No. 41/2007 for being filed after the prescribed limitation period; advisors recommend filing an appeal and alternatively arguing entitlement under the general limitation provision (as reflected in section 11B principles) to seek condonation of delay or tribunal relief.