Category: Refunds under GST

Yes, as per provisions of Section 49(6), the balance of cash or credit after payment of tax, interest, penalty, fee or any other amount payment refund can be claimed as per provisions of Section 54.Once the refund is claimed, the amount of credit of CGST/SGST/ IGST (as the case may be) would be reduced to that extent.

(ICAI FAQ PUBLICATIONS 06-09-2017 REFUNDS: FAQ NO. 7)

No. SEZ units shall not be charged with taxes for supplies made to them. In respect of supplies to a SEZ unit or a SEZ developer, the application for refund shall be filed by the –
(a) supplier of goods after such goods have been admitted in full in the SEZ for
authorised operations,
(b) supplier of services along with such evidence regarding receipt of services for authorised operations; as endorsed by the specified officer of the Zone.

(ICAI FAQ PUBLICATIONS 06-09-2017 REFUNDS : FAQ NO. 6)

The refund application is to be made before the proper officer of IGST/CGST/SGST.

(ICAI FAQ PUBLICATIONS 06-09-2017 REFUNDS: FAQ NO . 5)

Yes, the person claiming refund has to make an application in Form GST RFD-01 (as per Chapter X- Refund of the CGST Rules, 2017).

(ICAI FAQ PUBLICATIONS 06-09-2017 REFUNDS : FAQ NO. 4)

The relevant date is different for each situation and the same is provided below:

Situation	Relevant date
Refund is in respect of goods exported outside India (or on inputs/ input services used in such goods)
(i) By sea	Date on which the ship or the aircraft in which such goods are loaded, leaves India
(ii) By Air
(iii) By land	Date on which such goods pass the frontier
(iv) By post	Date of dispatch of goods by the concerned Post Office to a place outside India
Refund in respect of deemed exports	Date on which the return relating to such deemed exports is filed
Refund is in respect of services exported (or on inputs/ input services used in such services)	Where supply of service completed prior to receipt of payment	Date of receipt of payment in convertible foreign exchange
	Where payment for service received in advance	Date of issue of invoice
Tax becomes refundable as a consequence of: (i) Judgment (ii) Decree (iii) Order (iv) Direction of Appellate Authority, Appellate Tribunal or any Court	Date of communication of such judgment, decree, order or direction
Refund of unutilized input tax credit	End of the financial year in which such claim for refund arises
Tax is paid provisionally under this Act or the rules made thereunder	Date of adjustment of tax after the final assessment thereof.
In case of a person other than the supplier	Date of receipt of goods or services by such person
In any other case	Date of payment of tax

(ICAI FAQ PUBLICATIONS 06-09-2017 REFUNDS: FAQ NO. 3)

Yes, as per Section 54, refund application is to be filed before the expiry of two years from the relevant date.

(ICAI FAQ PUBLICATIONS 06-09-2017 REFUNDS : FAQ NO. 2)

Yes, the word refund is defined in explanation to Section 54 of the CGST Act, 2017. As per the said definition, refund includes refund of tax and interest paid on:
1. Zero-rated supplies of goods or services or both; or
2. Inputs or input services used in the effecting such zero-rated supplies of goods or services or both; or
3. Supply of goods regarded as deemed exports; or
4. Refund of unutilized input tax credit at the end of any tax period in case the rate of output tax is less than the rate of input tax.

(ICAI FAQ PUBLICATIONS 06-09-2017 REFUNDS: FAQ NO. 1)

1. As per Section 43(9) of the CGST Act, once the discrepancy in the reduction of output tax liability is rectified and such rectification is accepted, then the supplier is eligible to refund of interest paid earlier.
2. The maximum interest refundable is equivalent to the interest paid by the recipient. The supplier has to make a claim for such refund in FORM GSTR-3.
3. The interest to be refundable will be credited to the electronic cash ledger in FORM GST PMT-3 and will be available for any future payment of interest.
4. Alternatively, the supplier can claim the refund of such amount by following the procedure set out in Section 54 of the CGST Act.

(ICAI FAQ PUBLICATIONS 06-09-2017 RETURNS : FAQ NO.46)

It may also be noted that there is no concept of revision of a filed return under the GST regime. However, the details furnished in Forms GSTR-1 and GSTR-2 which have remained unmatched as per Section 42 or 43 can be rectified as and when the error or omission is discovered. However, no rectification is permissible after filing the annual return or the return for the month of September of the following year (whichever is earlier).

(ICAI FAQ PUBLICATION 06-09-2017 -: Returns : FAQ NO. 9)