1. The Refund application now has to be submitted on quarterly basis only, earlier the option was given to submit refund application on monthly or quarterly basis.

2.  The new notification has made substantial changes in Refund Application ‘FORM-A’. This has been done with an view to incorporate changes in the Rule 5.

3. Earlier where the refund applied was more than Rs.5 lacs, the applicant had to submit CA (Auditors)-Certificate certifying exports and CENVAT credit. Now as per the format Auditors Certificate has been made mandatory for every applicant and need to be submitted along with application itself. Also, the format has been changed to Annexure- A-I. Now, the Auditor has to certify that the details mentioned in the new Form-A are correct and are in terms of Rule 5 of CENVAT Credit Rules, 2004.

4. In terms of new Notification, the amount that is claimed as refund under rule 5 need to be debited by the claimant from his CENVAT credit account at the time of making the claim itself; and if in case the amount of refund sanctioned is less than the amount of refund claimed, then the claimant may take back the credit of the difference between the amount claimed and amount sanctioned. However, prior to this, the claimant had to debit the CENVAT credit account at the time of receipt of refund claim.  

5. The amended Rule 5 has changed the definition of ‘Value of Export Turnover’ and has linked the same to receipt of payment and completion of provision of service. Now, the Value of Export Turnover for the relevant period shall be services in respect of which following events, (i) completion of provision of service and (ii) receipt of payment have been completed during the relevant period.

For example: Services provided in Jan’12 to Mar’12, but payment received in April’12 to June’12, then these services will be considered in Export Turnover of April’12 to June’12. Similarly, advance received in Jan’12 to Mar’12, but services rendered in April’12 to June’12, it will be considered in April’12 to June’12.