The CBEC vide Circular No. 195/05/2016-Service Tax dated June 15, 2016 clarified about the Circular No. 187/06/2015-Service Tax dated November 10, 2015, which relates to speedy disbursal of pending refund claims of exporters of services under rule 5 of the Cenvat Credit Rules, 2004. The said scheme applicable only to Service tax registrants who are exporters of services, with respect to refund claims under rule 5 of the Cenvat Credit Rules, 2004 (“the Credit Rules”), which have been filed on or before March 31, 2015, and which have not been disposed of as on the date of the issue of the Circular No.187/06/2015 dated November 10, 2015. The claims which have been remanded are out of the purview of this scheme.
Further, it is reiterated that this scheme is not a substitute for the various notifications but is meant to complement them and is aimed at enabling ease of doing business. It has to operate within the general parameters of the notifications governing such refunds.
Furthermore, it is clarified that the decision to grant provisional payment is an administrative order and not a quasi-judicial order and should not be subjected to review. Therefore there is no reason to treat either the certificate or the provisional payment with fear or suspicion. The Statutory auditor certificate has to be furnished along with the refund claim in the case of company, the phrase “statutory auditor” here refer to the auditor who prepares the financial statements under the Companies Act 2013.
Furthermore, it is clarified that the certificate and consequently the claim for 80% provisional payment should not be rejected on the ground of any disclaimers which the auditor has to give, owing to the Guidance Notes issued by The Institute of Chartered Accountants of India.
Read more at: http://www.cbec.gov.in/resources//htdocs-servicetax/st-circulars/st-circulars-2016/st-circ-195-2016.pdf