TaxTMI 
TaxTMI 
2022 (6) TMI 1134
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....stration for payment of service tax for discharging the liabilities by way of reverse charge mechanism. The appellant had entered into an agreement with a German company called 'LifeCodexx AG" for technology transfer of non-invasive prenatal diagnostic qPCR test including licensing rights on 20.4.2017. They paid the first instalment of licensing fee amounting to EURO 99,000 (INR Rs.69,64,650) in May 2017. The appellant paid the service tax on this amount under reverse charge mechanism to the tune of Rs.11,60,968/- on 6.6.2017 for the services under Intellectual Property Rights. They also filed their ST-3 returns for the period April 2017 to June 2017 on 14.8.2017 reflecting the payment of service tax made by them under reverse charge mechan....
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.... of the tax amount paid by them. 5. He argued that as per Rule 6(3) of the erstwhile Service Tax Rules, 1994, the appellant is permitted to take recredit of the service tax if any paid on services which is not actually provided either wholly or partially. The said provision read along with section 142(5) of the CGST Act, 2017 makes the appellant eligible to file a refund application and to get refund of the amount of service tax paid by them in cash. It is submitted that as an abundant caution, the appellant had also filed a revised ST-3 return for the period April to June 2017 manually on 4.1.2019 since after the introduction of GST regime, the appellant was not able to file the returns digitally. 6. The learned counsel adverted to the p....
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....y him, if the assessee.- (a) has refunded the payment or part thereof, so received for the service provided to the person from whom it was received; or] (b) has issued a credit note for the value of the service not so provided to the person to whom such an invoice had been issued." 10. It is seen from the said Rules that when the service is not provided wholly or partially, the assessee can take recredit of the service tax paid by him. The said section talks about the service provider who has paid service tax and has not provided any service to the service recipient. In the present case, the appellant has paid the service tax under reverse charge mechanism and has to be in the shoes of a service provider. 11. Section 142(5) of CGST Ac....
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....)(b) of the CGST Act which provides as follows: (a) Where return filed under the existing law is revised after the appointed day but within the time limit prescribed for revision of return under the existing law; (b) Pursuant to filing of revised return, when closing balance of Cenvat credit increases as compare to closing balance of Cenvat credit in original return; (c) In this case the registered person is required to file refund for the differential amount; (d) The differential amount shall be refunded to registered person in cash as per provisions of existing law (e) Notwithstanding anything to the contrary contained in the said law other than the provisions of sub-section (2) of Section 11B of the Central Excise Act, 1944. ....
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....r verification of the claim of refund of the appellant. 6. In view of my discussion above, I set aside the impugned order holding that appellant is entitled for cash refund in view of Section 142(9)(b) of the CGST Act but for the purpose of verification of original invoices/documents, I remand the case back to the original authority for the limited purpose of verification of the invoices/ documents. The original authority will grant the refund after verification of the document and after following the principles of natural justice. The original authority will decide within a period of three months from the receipt of the certified copy of this order. The appeal is accordingly disposed of by way of remand." (Emphasis suppied) 13. In the ....