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2016 (4) TMI 67 - AT - Service TaxRejection of refund claim - Unutilized CENVAT credit filed under Rule 5 of CCR, 2004 read with Notification No.5/2006 CE(NT) dt. 14/03/2008 - Business Auxiliary Service and Information Technology Software Services exported out of India - Refund claim rejected on the ground that services exported are not taxable services, time barred, no one-to-one correlation between the inward and remittances (FICR) and export invoices and no nexus between the input services and the services exported - Held that:- the Commissioner(Appeals) has examined the issue and held that most of the activities/services rendered would fall within the taxable category of ITSS. As per judgment of mPortal India Wireless Solutions Pvt. Ltd., Bangalore Vs. CST, Bangalore [2011 (9) TMI 450 - KARNATAKA HIGH COURT] and KPIT Cummins Infosystems Ltd. Vs. CCE, Pune-I [2013 (7) TMI 124 - CESTAT MUMBAI], even if the IT enabled services i.e. software consultancy services exported during the impugned period, was classifiable as an exempted service, the benefit of refund under Rule 5 of CCR cannot be denied. If the period of one year is computed from the date of receipt of the FICR, the refund claims would be within the time limit followed by the judgment of Jurisdictional High court in the case of CC.CE&ST, Hyderabad-IV Vs. Hyundai Motor India Engg. (P) Ltd. [2015 (3) TMI 1049 - ANDHRA PRADESH HIGH COURT] and in the case of Market Tools Research (P) Ltd. Therefore, the refund claim is not time-barred. There is no dispute with regard to services exported or the inward remittances received. So, there is no requirement that there should be one-to-one correlation between the remittances and the export documents.Therefore, the denial of the refund on the ground that FICR and export invoices did not show one-to-one correlation is not justifiable. Also the period involved is prior to 01/04/2011 when the definition of input services had a wide ambit as the definition included the words 'activities relating to business'. So, the services if necessary for business of the appellant would qualify as input services. therefore, the refund cannot be denied for the reason that input services do not have nexus with the output services. - Decided in favour of appellant with consequential relief
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