Can a 100% eou avail rebate and cenvat credit (not. 12/2005)

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sujit nayak (Querist)
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23 January 2013 Dear Learned members,

I have a query related to notification 12/2005 dtd.19/04/2005.

Subject:

A 100% EOU is exporting services and claiming rebate for the duty paid inputs, especially utilized towards such export. For a particular financial year the branch company of such 100% EOU made indigenous sale and paid service tax of its output.

While filling the return (ST-3) the assessee claimed Cenvat credit for the duty paid inputs utilized towards such indigenous sale and the same time claimed rebate for the duty paid inputs used towards such export.

Query: I would request the learned group to guide me with citing any case law, if the assesee's claim stands for.

Awaiting for an early response.

Thanks, Sujit Nayak

Sreekumar

Sreekumar (Expert)
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25 January 2013 Yes, 100%EOU can go for refund of service tax paid on input service and also duty paid on inputs used for such services, in case of exports of service or supply.
Business advice: do this only if you have excess credit to be converted to cash, Or your cash will be blocked as receivables

sujit nayak

sujit nayak (Querist)
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25 January 2013 Thanks a lot for your guidance. I really appreciate your response. I would request for another favor, will you please post any case law related to such instance.
Thanks again.

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