Top-5 Questions on GST Refund

Top-5 Questions on GST Refund

Q1. Can refund claims be clubbed across different financial years?

A1. YES

Where the assessee, an exporter of processed tea, claimed a refund of unutilised ITC within the two-year period of limitation prescribed by statute, the appellate authority erred in concluding that a refund claim can only be made with regard to a specific calendar month.

Tulip Nilgiris Exports Pvt. Ltd. - Madras High Court

(2024) 14 CENTAX 25 :: TRT-2024-125

Q2. Whether separate refund application is required to be filed for claim of IGST on export of goods?

A2. No, shipping bill is sufficient.

When goods, being zero-rated supply, were exported on payment of IGST, the shipping bill itself would operate as refund application; no separate application for refund was required to be filed.

GUJARAT NIPPON INTERNATIONAL PVT. LTD. - Delhi High Court

(2022) 64 GSTL 438 :: TRT-2024-303

Q3. Whether refund can be rejected on the ground that physical signature on the documents were missing?

A3. No

If declarations under rules 89(2)(d) and 89(2)(e) of the Central GST Rules, 2017 are digitally authenticated as per rule 26, GST refunds for supplies to SEZ units or developers can't be denied just because they weren't physically signed before attachment.

Medicamen Biotech Ltd. - Rajasthan High Court

(2023) 6 CENTAX 162 :: TRT-2024-1077

Q4. Whether manual filing of refund application is allowed under GST?

A4. Yes

Where incorrect details of recipient of supply was mistakenly entered, amount paid against liability could not be considered as tax which was to be refunded;

as Rule 97A of CGST Rules, 2017 allows for manual filing of refund claim, assessee could not be directed to claim refund through online mode.

Varshan Enterprises - Andhra Pradesh High Court

(2022) 1 CENTAX 253 :: TRT-2024-815

Q5. Whether refund claim can be denied on a ground which has not been specifically mentioned in the show-cause notice?

A5. NO

Where claim for refund of unutilized input tax credit was rejected on ground that assessee had not shown excess payment in either monthly return or annual return, since said ground was not specifically mentioned in show cause notice,

rejection of claim for refund on said ground was in violation of principles of natural justice and, thus, matter was to be remanded back for fresh consideration.

Suchita Millenium Projects Pvt. Ltd. - Calcutta High Court

(2024) 83 GSTL 305 :: (2024) 1 CENTAX 48 :: TRT-2024-1246

Conclusion:

In summary, the key rulings highlight that GST refund claims can be clubbed across different financial years, and no separate application is needed for IGST on exports when a shipping bill is filed.

Additionally, digital authentication of documents suffices, manual filing is permissible, and refund claims cannot be denied based on grounds not explicitly mentioned in the show-cause notice, reinforcing the principles of natural justice.

Thanks

Raja Abhishek

9810638155