TaxTMI 
TaxTMI 
2022 (5) TMI 867
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....us refund claims that came to be rejected by the Original Authority, on following grounds: (i) Refund of credit of additional duty of customs (CVD) on inputs imported by them, is not admissible. (ii) Refund of credit of service tax on certain input services like renting of immovable property, of ITSS Services and Consulting Engineering services procured locally and Air passenger transport services,is not admissible. (iii) Refund of service tax paid under Reverse Charge Mechanism (RCM) in respect of ITSS services,Management or Business Consultant Services, Management, Maintenance and Repair Services, Business Support Services, paid under RCM, is not admissible. (iv) Refund of services locally procured but billed in US Dollars is not admissible. (v) Refund is not admissible on defective invoices. Various appeals filed by the appellants before the learned Commissioner (A) came to be rejected by the impugned orders. Hence, these appeals. 2. Learned counsel Shri Ravi Raghavan appearing on behalf of the appellants submits that the issues involved appeal-wise and issue-wise as follows: 3. Appeal No.ST/02081/2012, ST/27990 to 27993/2013....
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....utions Pvt. Ltd. v. Commissioner of Customs, 2017 (3) GSTL 273 (Tri.-Hyd.). 4.1 Learned counsel submits that refund of credit of service tax on services procured locally but billed in USD was denied; he submits that the services were in the nature of ITSS relating to software development, customization, etc., as can be seen from the agreements and statement of works with the vendors. 4.2 Learned counsel submits that refund of credit of service tax paid on ITSS and Consulting Engineering services procured locally and billed in INR was denied alleging that they have no nexus with the exported output service; he submits that the appellant is engaged in in provision of ITSS service and hence, Consulting Engineering services are integrally connected to the same; the places reliance on Commissioner vs. Hollister Medical India" 2017 (49) STR 426 (Tri. -Del.). 4.3 Refund of credit of service tax on some input services used in the provision of output services exported were denied alleging lack of nexus; learned counsel submits that the disputed services are integrally related to the output service; it is covered by the decisions of Tribunal in the cases of Chevron Phillips Chemical....
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.... learned counsel submits that as held by this Hon'ble Tribunal in Apotex Research Private Limited, 2014-TIOL-1836-CESTAT-BANG, 100% EOUs need not pay CVD at all. 5.4 Refund of credit of service tax of services procured locally but billed in USD was denied as the nexus was unclear as the nature of activities was not forthcoming. The services were in the nature of ITSS relating to software development, customization, etc. which was visible from the Agreements and Statement of Works with the vendors 6. Appeal No. ST/21474/2015: Refund of credit relating to Management Consultant Service, Management, Maintenance and Repair Service or Business Support Service of service tax under RCM was denied as there was no evidence to prove that these services were used directly for export. Learned counsel relied on Board Circular 16.3.2012 and places reliance on 24/7 Customer Pvt Ltd V. Commissioner of Central Tax, Bengaluru East 2021-TIOL-160- CESTAT-BANG. 6.1 Refund of credit of service tax on some input services procured locally and used in the provision of output services, is denied, due to the absence of nexus. Learned counsel submit that the Department cannot dispute the appellants' e....
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....ew of Rule 4 and hence, place of provision cannot be determined basis the 'performance in India'; the default Rule 3 to apply, meaning the place of provision will be the place of 'recipient of services' which is outside India. 6.6 Refund on the credit availed in respect of specific invoices raised by M/s. Spirent Communications Ltd. and M/s. NASCOM was denied on the ground that no services have been received under the said invoices. The learned counsel submits that the services received from Spirent Communications in respect of the maintenance of software is integral and essential to the output activity of the Appellant; the Appellant has been receiving 'Business Auxiliary Services' from NASCOM, which is necessary for the Appellant's output service and not 'club association services' as alleged by the Learned Commissioner. 7. Learned Authorized Representative reiterates the findings of the impugned orders and submits that the learned Commissioner has examined the claim of the appellants and has given specific findings in each of the refund claims as to how an input service claimed for refund was not eligible. With reference to the appellant's claim of refund on account of ser....
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....rt Services 20 Commercial Training or Coaching Service 5 Event Management Services 21 Courier Services 6 Legal Consultancy Services 22 Security Agency Service 7 Sponsorship Services 23 Other Services 8 Consultancy Services 24 Architect Services and Design Services 9 Market Research Agency Services 25 Consulting Engineer's Service 10 Scientific or Technical Consultancy Services 26 Rent Management Service 11 Company Secretary Services 27 Information Technology Software Services 12 Erection, Commissioning & Installation Services 28 Interior Decorators Services 13 Storage & Warehousing Services 29 Market Research Agency Services 14 Waste Management Services 30 Sponsorship Services 15 Management, maintenance and Repair service 31 Supply of Tangible goods services 16 Manpower Recruitment and supply Agencies Service 32 CVD 10. Learned Counsel for the appellants relies on the decision in their own case vide Final Order Nos.21794-21798/2014 dated 26.09.2014, 21568/2015 dated 14.07.2015 & 21206-21207/2014 dated 27.07.2017; he also relies on ....
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....No.ST/21448/2015, the Original Authority finds as follows: 27.5. As per the Agreement, the assessee has agreed to procure from the above units the services relating to "software development/ customization, Application Specific Integrated Circuit (ASIC) design, verification and validation, physical design, design-for-test (DFT) and analog engineering from its service centres situated in India (Offsite) and also onsite on It locations". 27.6. Further, as per the agreement Deliverable shall be deemed to include in both source code and object code forms, the final version and all intermediate versions of the software and all routines and subroutines, as well as all program materials flowcharts, notes, outlines, work papers an the like created or developed in connection therewith, the resulting screen formats and other visual effects of the software, and any formulae, processes, algorithms, ideas and other information not generally known to the public, whether or not protected by copyright, developed or generated by the vendors in the course of supplying Services. 27.7. I have perused the documents submitted in this regard (master service agreements) wherein i....
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.... 27.10. In addition to the discrepancies mentioned above, it is also noticed from the input invoices submitted by the assessee that in some of invoices it is mentioned in the location of services provided column as "OFFS/ Offshore", hence if the services provided are offshore, it cannot be input service for M/s Texas Instruments India Pvt. Ltd., Bangalore. Further, in respect of all the invoices above there are agreements/ Statement of Works as per which the service is delivered, assessee has not furnished the agreements/ statement of works for verification, also in most of the cases description mentions that "Services as per annexure enclosed" the annexures are also not submitted by the assessee for verification. The assessee has not established how these kinds of services/ Projects are used in the exported services. As per Para 3.4 of Board's Circular 120/1/2010, from the documents furnished by the assessee the nature of the input service cannot be clearly ascertained, hence no nexus can be established nor has been established by the assessee with the exported output service. 27.11. In respect of similar refund claim filed by the assessee for the earlier period, th....