Chevron Phillips Chemicals India Pvt. Ltd. Vs Commissioner of CGST (CESTAT Mumbai)
The appeal before CESTAT Mumbai challenged the denial of refund of unutilised accumulated CENVAT credit of ₹88,29,142 for the period from October 2015 to June 2017 claimed under Rule 5 of the CENVAT Credit Rules, 2004 read with Notification No. 27/2012-CE (NT) dated 18.06.2012. The refund was denied on the ground that the appellant’s services were not exports because the place of provision of service was considered to be in India under Rule 9(c) of the Place of Provision of Services Rules, 2012 (POPS Rules). The Commissioner (Appeals) upheld the denial through the Order-in-Appeal dated 11.10.2018.
The appellant was registered with the Service Tax Department for providing Business Auxiliary Services. It provided sales promotion and sales support services to its associated company, M/s Chevron Phillips Chemicals Global FZE (CPC Global), Dubai. The appellant received consideration in the form of commission calculated as a percentage of sales taking place in India in terms of Clause 5 of the agreement executed with CPC Global. The Department treated the services as “intermediary services” under Rule 2(f) of the POPS Rules, 2012 read with Rule 9 and had periodically denied refund claims since July 2012. The present appeal related to the refund claim for October 2015 to June 2017.
