Trading Export is Considered as Exempted Services

Trading export classification: exports not treated as exempt service, so no Cenvat reversal under Rule 6(3).
Exports of trading goods are not to be treated as an exempted service for Cenvat reversal purposes; exported goods are treated as duty-free and manufacturers need not reverse Cenvat credit under the cited reversal mechanism. A judicial authority supports that, for exported exempted products, the specific reversal liability is not attracted and credit on inputs used in exported manufacture remains available. (AI Summary)