Case Law Analysis
|Custom, Excise & Service Tax Tribunal
Interest @12% on Refund for Service Tax Paid Under Mistake of Fact | Service Tax Refund : CESTAT
CESTAT ruled that a refund of service tax paid under a mistake of fact attracts interest at 12% per annum, superseding the earlier 6% rate. This higher rate applies to any taxpayer seeking restitution for erroneous service tax payments, enhancing compensation for delayed refunds. The decision sets a binding precedent for future service tax refund claims.