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Draft circular issued on streamlining refund claims for services exports
November, 01st 2011

The Government has brought out a draft circular to streamline the process of sanctioning of refund claims, mainly arising on account of service tax borne on input services that have gone into exports of services.

This draft is being placed in public domain for widest possible circulation and an extensive debate from all stakeholders in trade and industry as also from all the field formations of the department, the Central Board of Excise and Customs draft circular said.

All suggestions and feedback should be emailed to d.aron@nic.in by November 30 and they would be considered for revising the draft circular, it said.

Representations have been received both from the field and the trade regarding difficulties being faced in the determination of the input services which are eligible for refund, the draft circular said. Resultantly, the issue has spawned delays and disputes, which has necessitated the issue of this clarification, it added.

It is hoped that with the issuing of this circular, smooth and expeditious disposal of exporters' claims for refund shall follow, the draft circular said.

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