Central Government has notified a new simplified refund scheme for exporters of goods vide Notification No 17/2009-ST dated 7.7.2009 in supersession of Notification No 41/2007-ST dated 6.10.2007. The revised referred refund scheme is effective from 7th July 2009. The new scheme has been revamped to ensure speedier grant of refunds to the exporters. Following are the salient features of the refund scheme w.e.f. 7 July ,2009-
· Terminal handling charges has been added to the list of eligible services.
· The time period for filling a refund claim has been increased to one year from the date of export. The condition for filling refund claims once in a quarter is being dispensed with. Now the exporter can file a refund claim anytime after each export shipment.
· A simplified format has been prescribed for filing refund claims.
· Self certification has been introduced to ensure faster sanction and disbursement of refunds. In a case, where total amount of refund claim does not exceed 0.25% of the total F.O.B value of export under a claim, a self- certification by the exporter on the relevant document to the effect that (i) the eligible services have been received by him (ii) the service tax payable thereon has been reimbursed, and (iii) such services have been used for the export, would be sufficient . The refunds shall be granted within one month without any pre-audit.
· In a case, where amount of refund claim exceeds 0.25% of the F.O.B value of exports, the documents submitted by the exporter should be certified by the chartered account , who audits his annual his accounts. On the basis of such certification ,the refund claim shall be sanctioned within one month without any pre-audit.
List of taxable services covered under refund scheme for exporters of goods
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Sr.No. |
Classification of sub-clauses of clause (105) of section 65 of the said Act |
Taxable Services |
Conditions |
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(1) |
(2) |
(3) |
(4) |
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1. |
(d) |
Service provided to an exporter by an insurer, including a reinsurer carrying on general insurance business in relation to insurance of said goods. |
Exporter shall submit document issued by the insurer, including re-insurer, for payment of insurance premium and the document shall be specific to export goods and shall be in the name of the exporter. |
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2. |
(zn) |
Service provided by a port or any person authorised by the port in respect of the export of said goods. |
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3. |
(zzh) |
Service provided by a technical testing and analysis agency, in relation to technical testing and analysis of said goods. |
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4. |
(zzi) |
Service provided by a technical inspection and certification agency in relation to inspection and certification of export goods. |
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5. |
(zzl) |
Service provided by other port or any person authorised by that port in respect for export of said goods. |
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6. |
(zzp) |
(i) Service provided for transport of said goods from the inland container depot to the port of export;
(ii) Service provided to an exporter in relation to transport of export goods directly from the place of removal, to inland container depot or port or airport, as the case may be, from where the goods are exported. |
(i) Exporter shall certify that the benefit of exemption provided vide notification number 18/2009-S.T. has not been claimed; and (ii) details, those are specified in the invoice of exporter relating to export goods, are specifically mentioned in the lorry receipt and the corresponding shipping bill. |
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7. |
(zzzp) |
(i) Service provided for transport of said goods from the inland container depot to the port of export, and (ii) services provided to an exporter in relation to transport of export goods directly from the place of removal to inland container depot or port or airport, as the case may be, from where the goods are exported. |
Invoice issued by the exporter in relation to export goods shall indicate the inland container depot or port or airport from where the goods are exported. |
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8. |
(zzzd) |
Specialised cleaning services namely disinfecting, exterminating, sterilising or fumigating of containers used for export of said goods provided to an exporter. |
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9. |
(zza) |
Service provided for storage and warehousing of said goods. |
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10. |
(f) |
Service provided by a courier agency to an exporter in relation to transportation of time-sensitive documents, goods or articles relating to export, to a destination outside India. |
(i) The receipt issued by the courier agency shall specify the importer-exporter code (IEC) number of the exporter, export invoice number, nature of courier, destination of the courier including ame and address of the recipient of the courier; and
(ii) exporter produces documents relating to the use of courier service to export goods. |
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11. |
(h) |
Service provided by a custom house agent in relation to export goods exported by the exporter. |
Exporter shall produce,-
(i) invoice issued by custom house agent for providing services specified in column (3) specifying,-
(a) number and date of shipping bill;
(b) number and date of the invoice issued by the exporter relating to export goods;
(c) details of all the charges, whether or not reimbursable, collected by the custom house agent from the exporter in relation to export goods;
(ii) details of other taxable services provided by the said custom house agent and received by the exporter, whether or not relatable to export goods. |
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12. |
(zm) |
(i) Service provided in relation to collection of export bills;
(ii) Service provided in relation to export letters of credit such as advising commission, advising amendment, confirmation charges;
(iii) Service of purchase or sale of foreign currency, including money changing provided to an exporter in relation to export goods. |
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13. |
(zzk) |
Service of purchase or sale of foreign currency including money changing provided to an exporter in relation to export goods. |
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14. |
(zzzzj) |
Service of supply of tangible goods for use, without transferring right of possession and effective control of tangible goods, provided to an exporter in relation to goods exported by the exporter. |
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15. |
(j) |
Service provided by a clearing and forwarding agent in relation to export goods exported by the exporter. |
Exporter shall produce,-(i) invoice issued by clearing and forwarding agent for providing services specified in column (3) specifying,-(a) number and date of shipping bill; (b) description of export goods; (c) number and date of the invoice issued by the exporter relating to export goods; (d) details of all the charges, whether or not reimbursable, collected by the clearing and forwarding agent from the exporter in relation to export goods; (ii) details of other taxable services provided by the said clearing and forwarding agent and received by the exporter, whether or not relatable to export goods. |
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16. |
classified under any sub-clause of clause (105) of section 65. |
Payment of service tax paid on services commonly known as terminal handling charges. |
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The notification prescribes the condition, manner of refund, specified taxable services covered and condition for eligibility, claim from for filing refund claim (Form A 1) and allotment of service tax code number to exporters (Form A 2)
(To be continued)
