TaxTMI 
TaxTMI 
Following is my queries. •Do I entitle to claim the refund on all input services which has been availed for exporting the goods if there is no domestic sales under Rule 5 of Cenvat Credit Rule, 2004. •Assuming we have made domestic sales during the year. What would be the position if I have made export sales as well as domestic sales? •What would be the impact of Notification no. 41/2007–ST dated 6-10-2007?
Refund claim - export of services
01 Jun 2009 
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Refund of input service tax: exporters may claim under Rule 5, while merchant exporters must use the notification route.
Exporters can claim refund of service tax on input services under Rule 5 when engaged in manufacture of excisable goods or providing taxable services; if domestic taxable supplies occur, input credit may be used to pay domestic service tax. Traders or merchant exporters not covered by Rule 5 must seek refund under Notification no. 41/2007 ST. (AI Summary)
Exporters can claim refund of service tax on input services under Rule 5 when engaged in manufacture of excisable goods or providing taxable services; if domestic taxable supplies occur, input credit may be used to pay domestic service tax. Traders or merchant exporters not covered by Rule 5 must seek refund under Notification no. 41/2007 ST. (AI Summary)