service tax refund under Notification No. 17/2009 ST - CHA

[Rishabh Gugale]

we have filed the service tax refund claim with central excise authority as per Service Tax  Notification No. 17/2009 related to the export of goods and services rendered by the Customs House Agent.  The Customs House Agent has charged service tax on services related to physical export of goods which includes the Agency Charges.  We have filed the original service tax bill of the CHA indicating the amount of service tax and payment thereof. All condiitions and procedures has been correctly fulfilled while submission of the claim.

Below expenses incurred while clearance of the export container from Factory till loading on the ship / vessel.  For example :-

Terminal Handling Charges

customs Formalities

Loading and unloading charges,

CMC Charges,

Transportation of container on truck carrier from factory to Sea Port.

Forklift charges

Etc., Etc.

The customs house agent has charges above charges and levied service tax whcih has been paid by us.  Since the cenvat credit is not availed the refund has been filed.  The central excise authority has denied the claim on the grounds that the CHA bill is not supported with actula expenses incurred on above charges and sanctioned the claim only with respect to agency charges.

Can anybody share views on above and whether such denial is correct when all expenses can not be supported with BILL as these are in relation to export goods.  Any case law if available will be useful to file the appeal against the order.

Rishabh.

AI Summary

Service Tax Refund Denied for CHA Due to Lack of Expense Documentation; Explore Exemption Options Under Notification No. 31/2012-ST. A user inquired about a service tax refund claim filed under Notification No. 17/2009 ST, related to services rendered by a Customs House Agent (CHA) for export activities. The claim was denied by the central excise authority because the CHA bill lacked documentation for actual expenses incurred, approving only the agency charges. The user sought opinions on whether this denial was justified, given the nature of export-related expenses. A respondent advised reviewing specific provisions of Notification No. 17/2009-ST and suggested availing an exemption under Notification No. 31/2012-ST for transportation services, which should not require service tax payment.