Service Tax Refund Eligibilty

[CLARENCE PEREIRA]

We are Exporters of Leather Garments & availing Duty Drawback.

We are paying rent for one of our premises for which Service Tax is charged

On another premises we have let out the same on Rent & charging Service Tax.

Can the service Tax credit of the first premises be set off against the service tax due of the second premises?

AI Summary

Exporter Seeks Clarification on Service Tax Set-Off Eligibility for Rent Amid Customs Duty Drawback Dispute, Citing Notification No. 17/2009. An exporter of leather garments is inquiring about the eligibility to set off service tax paid on rented premises against service tax charged on another rented property. Two respondents affirm that such a set-off is possible. However, the exporter faces an issue with customs authorities, who have withheld duty drawback, arguing that service tax credit cannot be claimed if duty drawback is taken. The exporter seeks clarification on whether service tax on rent is included among the 16 specified services eligible for credit as per Notification No. 17/2009.