TaxTMI 
TaxTMI 
2023 (2) TMI 107
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.... ORDER The petitioner is a hotel whose clientele includes foreigners. The Central Government has floated a scheme in the year 2007, entitled 'Served From India Scheme' (SFIS). The object of this scheme is to accelerate growth, promote and encourage export of services by awarding incentives in the form of monetary rewards on the foreign exchange earned by various service providers entitled to the benefits of this scheme. 2.The petitioner had applied on 15.10.2010 for the benefits of the scheme in regard to the foreign exchange earnings during the period 01.04.2009 to 31.03.2010. The petitioner was issued scrips for the period 01.04.2008 to 31.03.2009, amounting to a sum of Rs.2,66,51,000/-. The validity of the scrips was til....
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....ct in person on 10.01.2014, we now surrender the following SFIS Scrips issued to us on 30.07.2013 for a total amount of Rs.86,85,133.00 to cover the above excess duty credit claimed to be given to us for the year 2009 and 2010. Sr No SCRIP NO; DATE OF ISSUE DUTY CREDIT AMOUNT 1 0410148368/Dated 30.07.2013 Rs.50,00,000.00 2 0410148370/Dated 30.07.2013 Rs.36,85,133.00 We had made a representation to debit the expired unutilized licenses Nos.0410108648/22/00 Dt.19.10.2009(SEA), 0410108649/22/00 - Dt.19.10.2009 (AIR) and 0410108650/22/00 - Dt.19.10.2009 (SEA) for adjusting Rs.86,81,454.00. In the event of the above is considered by DGFT - New Delhi, we would request you to reinstate the value in our ....
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....ioner is liable not just for the refund of excess duty credit, but also for interest. 8.The reasoning set forth is an objection by the Director General of Audit (Central) (CRAP-II) under the Comptroller and Auditor General, to the effect that Star Hotels and other service providers in the tourism sector were entitled to SFIS benefits of only 5% duty credit upto 26.08.2009. It is only on and from 27.08.2009 that the eligibility stood enhanced to 10%. The impugned order thus states that the credits scrips that were issued to the petitioner on 21.02.2011 had inadvertently computed the credit at 10% instead of 5% to which the petitioner was entitled. The petitioner has admittedly complied with the surrender of scrips though no interest has b....
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....pril of a year and ending on 31st of March of the following year. 13.Having heard the rival contentions of Mr.Gautam S.Raman, learned counsel for the petitioner and Mr.T.V.Krishnamachari, learned counsel for the respondents, I am of the considered view that the petitioner must succeed. 14.The interpretation of the policy itself must be in tune with the avowed objectives of the various schemes that have been formulated under the policy. The Served from India Scheme has been outlined from Clause 3.12 of the Foreign Trade Policy and the avowed objective is 'to accelerate growth in export of services so as to create a powerful and unique 'Served From India' brand, instantly recognized and respected world over.' 15.Claus....