Customs, Excise and Services Tax Appellate Tribunal (CESTAT): P. Dinesha (Judicial Member), allowed an appeal filed challenging the denial of refund of unutilized Cenvat Credit under Rule 5 of the Cenvat Credit Rules, 2004 (CCR).
The appellant who was a provider of “Business Support Services” had filed an application for refund on 06-10-2017 for a refund of Rs 20,09,063. A Show Cause Notice dated 02-03-2018 was issued proposing to reject the above refund claim and consequently the adjudicating authority had rejected the refund claim of the appellant. The appellant then filed an appeal before the first appellate authority which was rejected and thus the instant appeal.
The Tribunal while allowing the appeal explained that there was no dispute that the appellant did not debit the refund amount since the same was carried over to GST through TRAN-1 and that the appellant did reverse the refund amount in their GSTR-3B Return for the month of October, 2018 under ITC reversal and therefore there was no justifiable reason to deny the refund on the part of the authorities. [Sundaram Business Services Ltd. v. Commr. of GST & CE, Service Tax Appeal No. 41741 of 2019, decided on 20-02-2020]
