Refund of service tax
This query is : Resolved
11 August 2014
HELLO,
MY ASSESEE HAS CHARGED AN SERVICE TAX ON EDUCATIONAL INSTITUTE AND PAID TO DEPARTMENT.
BUT NOW EDUCATIONAL INSTITUTE HAS BEEN EXEMPTED FROM SERVICE TAX.
BUT ASSESEE DEPOSITED THE SERVICE TAX AMOUNT AFTER THAT NOTIFICATION.
CAN ASSESEE CLAIM THE REFUND.
TELL ME THE PROCEDURE AND TIME FOR REFUND.
MY ASSESEE HAS CHARGED AN SERVICE TAX ON EDUCATIONAL INSTITUTE AND PAID TO DEPARTMENT.
BUT NOW EDUCATIONAL INSTITUTE HAS BEEN EXEMPTED FROM SERVICE TAX.
BUT ASSESEE DEPOSITED THE SERVICE TAX AMOUNT AFTER THAT NOTIFICATION.
CAN ASSESEE CLAIM THE REFUND.
TELL ME THE PROCEDURE AND TIME FOR REFUND.
11 August 2014
Client can claim refund. All the relevant ST-3 and Payment Challans alongwith complete set of Balance Sheet & PL should be submitted with the department. Exact working also to be given.
It is also possible that if you refund the tax collected from the institute; you may avail the credit.
It is also possible that if you refund the tax collected from the institute; you may avail the credit.
12 August 2014
Thanks Akshay Malpani,
Will You please elaborate the concept of refund.
Tell me the time period that when we claiming the refund.
Should i will give request online.
Tell Me the complete procedure with annexure.
Its urgent...
Will You please elaborate the concept of refund.
Tell me the time period that when we claiming the refund.
Should i will give request online.
Tell Me the complete procedure with annexure.
Its urgent...
20 July 2025
Can Refund Be Claimed?
Yes, the assessee can claim refund of service tax paid after the educational institute exemption notification came into effect, provided the tax was paid post-exemption.
Procedure to Claim Refund of Service Tax
Documents to Prepare:
Copies of Service Tax Returns (ST-3) where the service tax was declared.
Payment Challans for the tax paid.
Complete set of Balance Sheet and Profit & Loss Account for the relevant period.
A detailed computation/workings showing the tax paid on exempted services.
Copies of relevant notifications/exemption orders for educational institutions.
Refund Application:
Prepare a refund claim application addressed to the Jurisdictional Central Excise Commissioner/Service Tax Commissioner.
Mention the details of the tax paid, reasons for refund, and attach all supporting documents.
Include the bank details where refund is to be credited.
The application can be submitted physically at the Commissionerate office or through online e-filing system if available for your area.
Filing Time Limit:
Refund claims should be filed within 3 years from the relevant date of payment (usually the date of payment of tax).
Delays beyond 3 years may not be entertained, unless condoned by higher authorities under exceptional circumstances.
After Submission:
The department will verify documents and process the claim.
The refund is usually sanctioned within 3 to 6 months, but it may take longer depending on verification and workload.
If any queries arise, you may have to provide additional documents or clarifications.
Additional Tips
If the service tax was collected from the educational institute and paid, you may refund that amount to the institute first, as you cannot claim refund on amount not actually borne by you.
Keep a proper audit trail for all correspondence with the department.
Sample Annexures to Attach
Copy of exemption notification for educational institutions.
Copy of ST-3 returns showing service tax paid.
Copies of payment challans.
Computation sheet showing tax paid on exempted services.
Bank details form (for refund credit).
Yes, the assessee can claim refund of service tax paid after the educational institute exemption notification came into effect, provided the tax was paid post-exemption.
Procedure to Claim Refund of Service Tax
Documents to Prepare:
Copies of Service Tax Returns (ST-3) where the service tax was declared.
Payment Challans for the tax paid.
Complete set of Balance Sheet and Profit & Loss Account for the relevant period.
A detailed computation/workings showing the tax paid on exempted services.
Copies of relevant notifications/exemption orders for educational institutions.
Refund Application:
Prepare a refund claim application addressed to the Jurisdictional Central Excise Commissioner/Service Tax Commissioner.
Mention the details of the tax paid, reasons for refund, and attach all supporting documents.
Include the bank details where refund is to be credited.
The application can be submitted physically at the Commissionerate office or through online e-filing system if available for your area.
Filing Time Limit:
Refund claims should be filed within 3 years from the relevant date of payment (usually the date of payment of tax).
Delays beyond 3 years may not be entertained, unless condoned by higher authorities under exceptional circumstances.
After Submission:
The department will verify documents and process the claim.
The refund is usually sanctioned within 3 to 6 months, but it may take longer depending on verification and workload.
If any queries arise, you may have to provide additional documents or clarifications.
Additional Tips
If the service tax was collected from the educational institute and paid, you may refund that amount to the institute first, as you cannot claim refund on amount not actually borne by you.
Keep a proper audit trail for all correspondence with the department.
Sample Annexures to Attach
Copy of exemption notification for educational institutions.
Copy of ST-3 returns showing service tax paid.
Copies of payment challans.
Computation sheet showing tax paid on exempted services.
Bank details form (for refund credit).
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