M/S. Alps Industries Ltd vs Commissioner Of Central Excise

[Arising out of Order-In-Appeal No. MRT/EXCUS/000/52/2014-15 dated 25.02.2015 passed by Commissioner of Central Excise (Appeals I), Meerut]

For approval and signature:

Honble Mr Ashok Jindal, Member (Judicial)

1 Whether Press Reporters may be allowed to see the Order for publication as per Rule 27 of the CESTAT (Procedure) Rules, 1982?

2 Whether it should be released under Rule 27 of the CESTAT (Procedure) Rules, 1982 for publication in any authoritative report or not?

3 Whether Their Lordships wish to see the fair copy of the Order?

4 Whether Order is to be circulated to the Departmental authorities?

M/s. Alps Industries Ltd. Appellants

Vs.

Commissioner of Central Excise Respondent

Dehradun

Appearance:

Shri L P Asthana, Advocate for the Appellants

Shri M S Negi, AR for the Respondent

CORAM:

Hon'ble Shri Ashok Jindal, Member (Judicial)

Date of Hearing /decision: 28.08.2015

ORDER NO. FO/52714-52715/2015-ST(SM)

Per Ashok Jindal :

The appellant is in appeal against the impugned order denying the rebate claim filed by them under notification No. 41/2012-ST dated 29.6.12 on the following specific services:

A. transfer of goods from ICD to Port of export

B. terminal handling charges

C. CHA services

D. Banking and financial services

E. Clearing and Forwarding Agents services

F. Sterilizing or fumigation of containers services.

The rebate claim was rejected on the premise that these services have been availed by the appellant before the place of removal, in the case of export, is the port of export.

2. Heard the parties. Considered the submissions.

3. The contention of the appellant is that as per section 4 of the Central Excise Act, 1944, the place of removal is the depot and in this case, the place of removal is ICD Loni, from where the appellant has exported the goods and after that the appellant has received the above services. Therefore, they are entitled to claim the rebate as per CBEC circular 999/6/15- CX dated 28.2.2015.

4. I have gone through the CBEC circular and the explanation given by the appellant with regard to availing of these services beyond the place of removal; which is reproduced as under:

9) In the rebate claim, the appellants have sought refund of Service Tax paid on the following services:

a. Transport of Goods from ICD to the Port of Export  The said services are received and used beyond place of removal, i.e.ICD Loni, and therefore fall under the category of specified services.

b. Terminal Handling Charges Services  The terminal handling charges are collected by the terminal authorities at port against handling of equipment and their maintenance. THC Services are provided by the terminal authorities and use by the exporter at the Port of export. Thus, these are also received beyond place of removal and therefore fall within the category of Specified Services.

c. CHA services- A part of CHA Services are used at the port of export and therefore, fall within the category of Specified Services.

d. Banking and Financial services  Banking and Financial Services are related to collection of export proceeds. In the impugned order, the Commissioner (Appeals) at para 4 on page 10, has accepted that the collection of export bills is made by the banker after the export of goods. In such a scenario, these services are also received beyond place of removal and therefore fall within the category of Specified Services.

e. Clearing and Forwarding Agents services- These services are in relation to the clearing operations at the Port of dispatch. They also therefore, fall under the purview of Specified services.

f. Sterilizing or fumigation of container.

5. After examining the CBEC circular dated 28.2.15 and the notification 52/2011 and the notification No. 41/2012 ibid , all these services have been availed by the appellant beyond the place of removal i.e. ICD Loni. In these circumstances, I hold that appellant is entitled to claim rebate as per the notification 41/2012. With these terms, I set aside the impugned order and allow the appeal with consequential relief.

(Dictated and pronounced in the open court )

( Ashok Jindal ) Member(Judicial)

ss

2