TMI Blog2015 (2) TMI 614X X X X Extracts X X X X X X X X Extracts X X X X ..... consumed within the SEZ cannot nullify the overriding provisions of Section 51 of the SEZ Act. The law makes made different schemes, one for granting refund of tax paid on services exported into SEZ and, the other for granting outright exemption to services which are provided to be wholly consumed within the SEZ unit, the recipient is bound to get refund unless assessment at the end of service provider was re-opened and refund was given to the service providers. Notification no. 9/2009 exempts taxable service provided to SEZ units. Once refund is provided for under this Notification, the provisions of statute under Section 11(B) of the Central Excise Act as made applicable to the Finance Act, 1994 comes into play. Therefore, refund cann ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s ordered recovery of the refund sanctioned by the adjudicating authority. 3. The Ld. AR reiterated the findings of the Commissioner. He argues vehemently that the notifications have to be interpreted strictly otherwise they would become redundant. He relied on the case of Collector of Customs, Bombay vs. United Electrical Industries Ltd. 1999 (108) E.L.T. 609 (S.C.). 4. I have considered the rival contentions. It would be useful to refer to the Notification which provides for exemption to taxable services provided to developer or units of SEZ. Extracts of the Notification are given below:- Notification No. 9/2009-ST- ..hereby exempts the taxable services specified in clause (105) of section 65 of the said Finance Act, whi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d within the SEZ cannot nullify the overriding provisions of Section 51 of the SEZ Act. The law makes made different schemes, one for granting refund of tax paid on services exported into SEZ and, the other for granting outright exemption to services which are provided to be wholly consumed within the SEZ unit, the recipient is bound to get refund unless assessment at the end of service provider was re-opened and refund was given to the service providers. This view is supported by the Hon'ble Supreme Court decision in the case ofCommissioner of Central Excise vs. MDS Switchgear Ltd. - 2008 (229) ELT 485 (SC). 4.2 Notification no. 9/2009 exempts taxable service provided to SEZ units. Once refund is provided for under this Notification ..... X X X X Extracts X X X X X X X X Extracts X X X X
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