Introduction:- The recent circular no. 120/01/2010-ST dated January 19, 2010 has been issued by the Board for claiming the refund of unutilized Cenvat credit under Rule 5 of Cenvat credit Rules by the service exporters. The above circular has tried to address all the problems faced by the service tax exporters in claiming such exemption. They have tried to give clarification on all the issues. But the famous Hindi proverb “lohe ke chane chabana” (Hard nut to crack) is apt for refund claim for the exporters under Notification 41/2007 or refund under Rule 5. This is also applicable even after this circular. Even we have written a Series of articles on such refund scheme titled as “Johnny and Service Tax refund” for the refund of service tax under notification 41/2007. This can be viewed from our website www.capradeepjain.com. We are discussing the aforesaid circular in this article in length.Full article is given below & available for download also.
