2023 (5) TMI 335

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....er the category of 'Business Auxiliary Service' and for that purpose, got themselves registered with the Service Tax Department. The appellants provide such services mostly to their parent company located abroad. The appellants avail cenvat credit of service tax paid on various input services used for providing such taxable output service. In the present case, the appellants had filed the refund applications under Rule 5 of Cenvat Credit Rules, 2004 claiming refund of service tax paid on the input services on the ground that they were not in a position to utilize such credit and since the taxable services were exported by them, they should be entitled to the benefit of refund provided under the statute. The refund applications filed by the ....

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....learned Authorised Representative appearing for the Revenue reiterated the findings recorded in the impugned as well as in the original orders passed by the lower authorities, in support of rejection of the benefit of refund claims filed by the appellants. 4. Heard both sides and examined the case records. 5. We find that the authorities below have denied the benefit of refund to the appellants, holding that the appellants have not exported the technical service namely, Technical Testing Service, and accordingly, no refund benefit shall be available in respect of the service tax paid on the input services. We find that an entirely identical issue for the earlier period in appellant's own case came before this Tribunal and Tribunal vid....

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....of Commissioner of Service Tax, Mumbai-II vs. SGS India Pvt. Ltd. - 2014 (34) STR 554 (Bom.) were considering an identical issue and in paragraph 23 & 24 held as under which we respectfully reproduced:- 23. We are of the opinion that the services rendered in the present case are fully covered by the clarification given and even by the principle laid down in the decision of the Hon'ble Supreme Court of India. In this regard, if one refers to the allegations in the show cause cum demand notice, it is apparent that the same refers to the testing charges received by the respondent in convertible foreign currency in respect of services rendered by it in India to its foreign clients. Though the show cause notice refers to the circulars, ....

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....cations and standards. Thus, client of the respondent located abroad engaged the services of the respondent for inspection and testing the goods. The goods were tested by the respondents in India. The goods were available or their samples were drawn for such testing and analysis in India. However, the report of such tests and analysis was sent abroad. The clients of the respondent were foreign clients, paid the respondent for such services rendered, in foreign convertible currency. It is in that sense that the Tribunal holds that the benefit of the services accrued to the foreign clients outside India. This is termed as 'export of service'. In these circumstances, the Tribunal takes a view that if services were rendered to such foreign clie....