Exemption on Input Services for Service Exports
[Service Tax Notification
No. 39 dated 20th June 2012]
In exercise of the
powers conferred by rule 6A of the Service Tax Rules, 1994 (hereinafter
referred to as the said rules), the Central Government hereby directs that
there shall be granted rebate of the whole of the duty paid on excisable inputs
or the whole of the service tax and cess paid on all input
services (herein after referred to as input services), used in providing service
exported in terms of rule 6A of the said rules, to any country other than Nepal
and Bhutan, subject to the conditions, limitations and procedures specified
hereinafter,-
2. Conditions and
limitations:-
(a) that the service has been exported in
terms of rule 6A of the said rules;
(b) that the duty on the inputs,
rebate of which has been claimed, has been paid to the supplier;
(c) that the service tax and cess, rebate of which has been claimed, have been paid on
the input services to the provider of service;
Provided if the person is himself
is liable to pay for any input services; he should have paid the service tax
and cess to the Central Government.
(d) the total amount of
rebate of duty, service tax and cess admissible is
not less than one thousand rupees;
(e) no CENVAT credit has
been availed of on inputs and input services on which rebate has been claimed;
and
(f) that in case,-
(i) the duty or, as the case may be,
service tax and cess, rebate of which has been
claimed, has not been paid; or
(ii) the service, rebate
for which has been claimed, has not been exported; or
(iii) CENVAT credit has been availed on inputs and input services
on which rebate has been claimed,
the rebate paid, if any, shall be
recoverable with interest in accordance with the provisions of section 73 and
section 75 of the Finance Act, 1994 (32 of 1994)
3. Procedure.
3.1 Filing of Declaration.- The provider of service to be
exported shall, prior to date of export of service, file a declaration with the
jurisdictional Assistant Commissioner of Central Excise or Deputy Commissioner
of Central Excise, as the case may be, specifying the service intended to be
exported with,-
(a) description, quantity, value, rate of duty and the amount
of duty payable on inputs actually required to be used in providing service to
be exported;
(b) description, value and the amount of service
tax and cess payable on input services actually
required to be used in providing service to be exported.
3.2 Verification of declaration.- The Assistant Commissioner of
Central Excise or the Deputy Commissioner of Central Excise, as the case may
be, shall verify the correctness of the declaration filed prior to such export
of service, if necessary, by calling for any relevant information or samples of
inputs and if after such verification, the Assistant Commissioner of Central
Excise or the Deputy Commissioner of Central Excise is satisfied that there is
no likelihood of evasion of duty, or as the case may be, service tax and cess, he may accept the declaration.
3.3 Procurement of input materials and receipt of
input services.- The provider of service to be
exported shall,-
(i) obtain the inputs required for use in providing service to
be exported, directly from a registered factory or from a dealer registered for
the purposes of the CENVAT Credit Rules, 2004 accompanied by invoices issued
under the Central Excise Rules, 2002;
(ii) receive the input services required for
use in providing service to be exported and an invoice, a bill or, as the case
may be, a challan issued under the provisions of
Service Tax Rules, 1994.
3.4 Presentation of claim for rebate.-
(a) (i) claim of rebate of the duty paid on
the inputs or the service tax and cess paid on input
services shall be filed with the jurisdictional Assistant Commissioner of
Central Excise or Deputy Commissioner of Central Excise, as the case may be,
after the service has been exported;
(ii) such application
shall be accompanied by,
(a) invoices for inputs issued under the Central Excise Rules,
2002 and invoice, a bill, or as the case may be, a challan
for input services issued under the Service Tax Rules, 1994, in respect of
which rebate is claimed;
(b) documentary evidence of receipt of payment against service
exported, payment of duty on inputs and service tax and cess
on input services used for providing service exported, rebate of which is
claimed;
(c) a declaration that such service, has
been exported in terms of rule 6A of the said rules, along with documents
evidencing such export.
(b) The jurisdictional Assistant Commissioner of Central Excise
or Deputy Commissioner of Central Excise, as the case may be, having regard to
the declaration, if satisfied that the claim is in order, shall sanction the
rebate either in whole or in part.
Explanation 1.- For the purposes of this notification
service tax and cess means,-
(a) service
tax leviable under section 66 or section 66B of the
Finance Act, 1994 (32 of 1994);
(b) education
cess on taxable service levied under section 91
read with section 95 of the Finance (No.2) Act, 2004 (23 of 2004); and
(c) Secondary and Higher
Education Cess on taxable services levied under
section 136 read with section 140 of the Finance Act, 2007 (22 of 2007).
Explanation 2.- For the purposes of this notification
duty means, duties of excise leviable under the
following enactments, namely:-
(a) the Central Excise
Act, 1944 (1 of 1944);
(b) the Additional Duties of Excise (Goods
of Special Importance) Act, 1957 (58 of 1957);
(c) the Additional Duties
of Excise (Textiles and Textile Articles) Act, 1978 (40 of 1978);
(d) National Calamity Contingent duty leviable
under section 136 of the Finance Act, 2001 (14 of 2001), as amended by section
169 of the Finance Act, 2003 (32 of 2003), section 3 of the Finance Act, 2004
(13 of 2004) and further amended by section 123 of the Finance Act, 2005 (18 of
2005);
(e) special duty of excise
collected under a Finance Act;
(f) additional duty of
excise as levied under section 157 of the Finance Act, 2003 (32 of 2003);
(g) Education Cess on
excisable goods as levied under section 91 read with section 93 of the Finance
(No.2) Act, 2004 (23 of 2004); and
(h) the additional duty
of excise leviable under section 85 of the Finance
Act, 2005 (18 of 2005).
(i) the
Secondary and Higher Education Cess on excisable
goods leviable under section 136 read with section
138 of the Finance Act, 2007 (22 of 2007).
Annexure
(Application for filing a claim of rebate of duty paid on inputs,
service tax and cess paid on input services)
(PART A: To be filled by the applicant)
Date
.
Place
To,
Assistant Commissioner of Central Excise/Deputy Commissioner of
Central Excise
.. (full postal address).
Madam/Sir,
I/We
..,(name of the person claiming rebate) holding
service tax registration No.
, located in
. (address of
the registered premises) hereby declare that I/We have exported
service (name of the service) under rule 6A of the Service Tax
Rules, 1994 to
(name of the country to which service has been
exported), and service tax amounting to
. (amount
in rupees of service tax) and education cess
amounting to
. (amount in rupees of cess) has been paid on input services and duty amounting to
(amount in rupees of duty) has been paid on
inputs.
2. I/We also declare that the payment against such service exported
has already been received in
3. I/We request that the rebate of the duty, service tax and cess on inputs and input services used in providing service
exported by me/us in terms of rule 6A of the Service Tax Rules, 1994 may be
granted at the earliest. The following documents are enclosed in support of
this claim for rebate.
1.
2.
3.
Declaration:
(a) We hereby certify that we have not availed CENVAT credit on inputs
and input services on which rebate has been claimed.
(b) We have been granted permission by Assistant Commissioner of Central
Excise or Deputy Commissioner of Central Excise, vide C. No. ______, dated
______ for working under notification No. _____ , dated _____ .
(Signature and name of the
service provider or his authorised agent with date)
(PART B: To be filled by the sanctioning
authority)
Date of receipt of the rebate
claim: ______________
Date of sanction of the rebate
claim: ______________
Amount of rebate claimed: Rs. ______________
Amount of rebate sanctioned: Rs. ______________
If the claim is not processed
within 15 days of the receipt of the claim, indicated briefly reasons for
delay.
Place:
Date:
Signature of the Assistant Commissioner/
Deputy
Commissioner of Central Excise.
4. This
notification shall come into force on the 1st day of July, 2012.
F. No. 334/1/2012-TRU