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2021 (11) TMI 16 - AT - Service TaxRefund of service tax paid - time barred claim or not - unjust enrichment - Section 11B of the Central Excise Act - HELD THAT:- Admittedly Section 11B of the Central Excise Act, 1944 provides for a limitation period of one year from the “relevant date” for filing of a refund application and also provides provision for establishment of the fact that tax has to be paid by the claimant as well as incidence of such tax has not been passed on to any other person by the claimant. However, going by the explanation that is appended to 11B which has defined “relevant date”, thus, appellant’s case has been covered under Section 11B (5) e(c). Doubt may arise at this point as to what kind of order would make the appellant entitled to claim a refund? Admittedly, in the instant case there is no direction for payment of refund except a finding that the said amount of ₹ 7,65,445/-, as a component of tax under Reverse Charge Mechanism, was not payable. Explanation of relevant date at 11 B (ec) clearly indicates that if duty becomes refundable ‘as a consequence of order/judgment’, then the period of one year is to be calculated from the date of the order/judgment. Therefore, without prejudice to the submissions made for and against the issue, it can invariably lead a rational human being to a conclusion that there is no requirement of an express direction for refund of service tax paid that was not payable if as a consequence of judgment or decree such duty becomes refundable - in the instant case it is in respect of appellant itself the said order that duties was not leviable has been passed that arose as a consequence against demand of interest on the said component of duty that was paid by the appellant, may be under mistake of fact. Appellant is entitled to get refund of ₹ 7,65,445/- with applicable interest as per Section 11BB of the Central Excise Act effective after three months of filing of its original refund application - appeal allowed.
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