Cash Refund Not Allowed for EOU-to-EOU Clearances on IUT Basis: CESTAT Bangalore

Wave Mechanics Pvt. Ltd. Vs Commissioner of Central Tax (CESTAT Bangalore) The Customs, Excise, and Service Tax Appellate Tribunal (CESTAT), Bangalore bench, has ruled that a 100% Export Oriented Unit (EOU) is not eligible for a cash refund of accumulated Cenvat credit on goods supplied to other EOUs after March 1, 2015. However, the tribunal clarified that the assessee is entitled to take re-credit of the amount debited while claiming the refund. The case involved Wave Mechanics Pvt. Ltd., an EOU manufacturing RF/Microwave components. The company had filed multiple refund claims seeking cash ...