Refund of Input tax by Exporter of IT Services?

Others 756 views 2 replies

My client is an exporter of Information Technology Services. Finance Act, 2008, w.e.f 16.05.2008, made IT services subject to service tax levy. Shall the exporter of IT services can register now under service tax act and can claim rebate of service tax paid on input services like, Rent on immovable property, telephone etc.? He is not liable to pay service tax on his output services since the export of service rules,2005 has been complied. Kindly resolve this issue.

Replies (2)

No

In terms of Rule 5 of the Cenvat Credit Rules, 2004 the exporter of service is entitled for the refund of credit remaining un-utised. You may avail cenvat credit on input/input services and then claim refund after obtaining service tax registration from the concerned authorities. 


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