Want to know notification.
This query is : Resolved
21 September 2015
We had purchase softwares from Distributors with Service tax, and sold same softwares to client without Service tax. Bcoz client under SEZ zone. Client purchase for export.
Now i have file for refund. I want to know in which notification we can file refund for service tax.
Now i have file for refund. I want to know in which notification we can file refund for service tax.
23 September 2015
You are not eligible for apply refund.
Message likes :
1 times
03 August 2025
Here’s a clear explanation about **Service Tax refund on software sold to SEZ clients** and related notifications:
---
### Situation:
* You **purchased software from distributors with Service Tax**.
* You **sold the software to SEZ clients without charging Service Tax** (because supplies to SEZ are zero-rated/exempt).
* Now you want to **claim refund of Service Tax paid on inputs/services** (input service credit).
---
### Key Points:
1. **Supply to SEZ Unit/Developer** is treated as **zero-rated supply** under **Section 16 of the Central Goods and Services Tax Act (CGST), 2017** (post GST). Before GST, under Service Tax regime, supplies to SEZ were zero-rated under **Notification No. 48/2012-Service Tax** (as amended).
2. You can **claim refund of the accumulated input service tax credit** on inputs/services used for zero-rated supplies to SEZ units.
---
### Relevant Notifications for Service Tax Refund Pre-GST:
* **Notification No. 48/2012-Service Tax dated 30-06-2012**: Provides refund mechanism for input service tax credit on services used for zero-rated supplies to SEZ.
* **Rule 5 of Service Tax Rules, 1994 (as amended)**: Procedure for claiming refund of unutilized input service tax credit.
---
### Can you file refund?
* Yes, you can claim refund of **unutilized input service tax credit** paid on purchases for making zero-rated supplies to SEZ units.
* Refund is claimed by filing **FORM ST-3** (monthly return) and subsequently applying for refund as per prescribed procedures.
---
### What if refund is not claimed?
* You can **carry forward the unutilized input service tax credit** to subsequent periods.
* The credit can be utilized against other taxable services provided by your company.
---
### Summary:
| Query | Answer |
| ------------------------------------------------------------------------------ | ---------------------------------------------- |
| Can refund be claimed for service tax paid on software purchased for SEZ sale? | Yes, under Notification 48/2012-ST |
| Which notification applies? | Notification No. 48/2012-Service Tax |
| Can credit be carried forward if refund not claimed? | Yes, can be carried forward and adjusted later |
---
If you want, I can help you draft the refund application or guide you through the refund filing procedure step-by-step. Would you like that?
---
### Situation:
* You **purchased software from distributors with Service Tax**.
* You **sold the software to SEZ clients without charging Service Tax** (because supplies to SEZ are zero-rated/exempt).
* Now you want to **claim refund of Service Tax paid on inputs/services** (input service credit).
---
### Key Points:
1. **Supply to SEZ Unit/Developer** is treated as **zero-rated supply** under **Section 16 of the Central Goods and Services Tax Act (CGST), 2017** (post GST). Before GST, under Service Tax regime, supplies to SEZ were zero-rated under **Notification No. 48/2012-Service Tax** (as amended).
2. You can **claim refund of the accumulated input service tax credit** on inputs/services used for zero-rated supplies to SEZ units.
---
### Relevant Notifications for Service Tax Refund Pre-GST:
* **Notification No. 48/2012-Service Tax dated 30-06-2012**: Provides refund mechanism for input service tax credit on services used for zero-rated supplies to SEZ.
* **Rule 5 of Service Tax Rules, 1994 (as amended)**: Procedure for claiming refund of unutilized input service tax credit.
---
### Can you file refund?
* Yes, you can claim refund of **unutilized input service tax credit** paid on purchases for making zero-rated supplies to SEZ units.
* Refund is claimed by filing **FORM ST-3** (monthly return) and subsequently applying for refund as per prescribed procedures.
---
### What if refund is not claimed?
* You can **carry forward the unutilized input service tax credit** to subsequent periods.
* The credit can be utilized against other taxable services provided by your company.
---
### Summary:
| Query | Answer |
| ------------------------------------------------------------------------------ | ---------------------------------------------- |
| Can refund be claimed for service tax paid on software purchased for SEZ sale? | Yes, under Notification 48/2012-ST |
| Which notification applies? | Notification No. 48/2012-Service Tax |
| Can credit be carried forward if refund not claimed? | Yes, can be carried forward and adjusted later |
---
If you want, I can help you draft the refund application or guide you through the refund filing procedure step-by-step. Would you like that?
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