TMI Blog2023 (8) TMI 1238X X X X Extracts X X X X X X X X Extracts X X X X ..... port, has however observed that the certificate of the chartered accountant furnished by the appellant was dated 16.09.2020, from where he has entertained a doubt that whether it was possible to conduct a thorough verification of all the invoices, ledger, etc., pertaining to three financial years in a matter of few hours. When there is a doubt, then it is always open for the authority to seek clarification / explanation from the appellant in order to arrive at a proper finding instead of suspecting such document. It is not as though there was a serious error for which reason the certificate of the chartered accountant was not considered. Coming to a conclusion based on assumptions and presumptions is not proper. It will be in the inte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... explanation was given: - Equate Petrochemicals, Kuwait had issued an order to Edac Engineering Ltd., India towards execution of turnaround maintenance contract in Kuwait represented through its local agents in Kuwait namely, Sabila Universal, for services, a company formed under law of Kuwait. Edac India in turn has issued a sub-contract work order to Yusuf A. Alghamin Sons, W.L.L. Kuwait (Group company of Sabila). All material procurements, providing competent and qualified man power, machinery, etc, for execution of work are under the scope of Yusuf A. Alghamin Sons. Invoicing for the jobs will be done directly by both Edac and Sabila on M/s. Equate Petrochemicals, Kuwait. Payments from Equate will be transferred to th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... wever, assessee had not received the full amount in foreign convertible exchange, as required. This made the Revenue to believe that though the assessee was aware of service tax procedures, they did not disclose the details of the above non-receipt of foreign exchange from exports, to the Department and hence, the assessee had failed to follow the procedures prescribed under Rule 6A of the Service Tax Rules, 1994. They also appear to have noticed that the assessee had not even made Cenvat debit under Rule 6(1) of the CENVAT Credit Rules, 2004 on non-remittance of foreign exchange, but however had availed the entire CENVAT Credit for discharging Service Tax liability for the taxable output services. 3. Consequently, the Revenue issued a S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of law as held by various judicial fora. 7.3 They also urged that the input purely belonged to the supply of taxable services within the taxable territory of India and hence, there was no question of reversal at all. Moreover, the non-receipt of foreign exchange within the time frame would take this service out of the purview of Rule 6(3) and hence no reversal under Rule 6(3) is required. This is the content of the certificate issued by the chartered accountant, but however, the same was not considered by the lower authority. 7.4 Hence, it is their contention that the original authority has passed the impugned order only on assumptions and presumptions, without considering any of the explanations offered by the assessee. Reliance has ..... X X X X Extracts X X X X X X X X Extracts X X X X
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