2018 (9) TMI 1519

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....service to the shipper namely M/s.Jinneng Energy Technologies Ltd., China (JETL, for short) and received consideration in convertible foreign exchange. While executing such service, they availed various input services for export of logistics services and hence filed a refund claim on 28.02.2017 for Rs. 50,11,369/- under Rule 5 of Cenvat Credit Rules, 2004 for the quarter ending 30.09.2016. Show cause notice dt. 26.04.2017 was issued to the appellants proposing to reject the refund claim stating that activities of the appellant did not appear to be in relation to export of services. After due process of the claim, the original authority rejected the refund claim. In appeal, Commissioner (Appeals) upheld the same. Hence the appellants are bef....

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....ntered into agreement dt. 1.1.2015 with H & H (Tianjin) International Forwarders Co. Ltd., China. As per this agreement, H & H has appointed MAS (appellant) to facilitate re-export of goods. Thus the appellant had entered into logistics services for enabling the warehousing service, CFS services etc. for return / export of the goods to the shipper. They availed various input services for which they paid service tax and availed cenvat credit. The input services were indispensable for getting the goods reshipped to the shipper as permitted by the latter. Therefore logistics services rendered being an export of service, the appellant is eligible for credit of service tax paid on input services. He submitted that the authorities below have conf....

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....that appellants have provided services to H & H, China. The invoices were raised on H & H, China by the appellant. The only conclusion therefore possible is that H & H, China is the intermediary if at all, and not the appellant. The recipient of logistic services being situated outside India, and the consideration having received in convertible foreign currency, the transaction has to be treated as export of service. It is brought out from the statement as well as from perusal of records that appellant has facilitated the re-export of the goods. 5. Another ground raised is that major part of the input services were availed for import of goods and not export of services. The department is of this view for the reason, that services were av....