2011 (2) TMI 779

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....posed to be taken up together, pre-deposit in respect of appeal Nos. ST/243 & 245/2010 is waived and stay petitions allowed. 2. In all these cases, refund claims filed by M/s. Arvind Limited (respondents) were sanctioned by the Assistant Commissioner, Central Excise concerned and the Commissioner in exercise of the powers under Section 84 of the Finance Act, 1994 has reviewed and after issue of show cause notice and following the principles of natural justice, has passed the impugned order demanding the refunds already sanctioned with interest. 3. In order Numbers 7-8 of Commissioner dated 18.2.2010, refund claim for Rs, 1,26,185/- filed on 31.12.2008 for the period July 2008 to Sept 2008 and refund claim for Rs. 3,66,003/- filed on 1....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ission to the extent of 10% would be applicable only in respect of exports made after 07.12.2008. 5. Heard both sides and considered all the submissions and records. Learned advocate for the appellants submitted that Notification 33/2008 dated 07.12.2008 increased the ceiling of commission to 10% and also removed the restriction relating to claim of drawback. On the date of filing of application for refund, the notification in existence provided for refund of service tax on the basis of 10% ceiling and without any restriction relating to drawback. Amendment made in the notification has to be read as applicable to claims filed after the amendment and not from the date of export or date of rendering service. Learned advocate submitted that....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....do not avail refund of this tax through any other mechanism while claiming the all industry rate of drawback." Even though this observation was made in the month of August and in December the notification was amended to provide that even where drawback was availed refund of service tax can be given. According to the learned advocate these facts relating to drawback are also relevant and this would show clearly that what was done in December 2008 was only a rectification to ensure that exporters got full refund of the taxes paid by them taxes are not exported. Going by the philosophy behind the refund and logical view that emerges as a result of consideration of various aspects of discussion above is that proper, legal and correct interpreta....