Marathon Electric India Private Limited Vs Union of India & Ors. (Bombay High Court)
GST Refund Order Quashed as Appellate Authority Ignored Taxpayer’s Submissions; Bombay HC Remands GST Export Refund Dispute for Fresh Decision Due to Lack of Reasoning; Non-Application of Mind in GST Refund Rejection Leads to Remand by Bombay HC; Bombay HC Says GST Refund Cannot Be Denied Without Reasoned Findings; IT Services Export Refund Cannot Be Denied Without Finding on Intermediary Status: Bombay HC.
In , the petitioner challenged an order dated 24 April 2023 passed by the appellate authority rejecting its GST refund claim of Rs. 54,31,283/-. The petitioner sought quashing of the order and a declaration that the services rendered to a USA-based company qualified as export of services, making the refund admissible. The petitioner also sought interest on delayed refund under Section 56 of the CGST Act, 2017.
The petitioner was engaged in providing information technology software services and had entered into a service agreement with Regal Beloit America Inc. (RBA), a company based in the United States, for customized IT services. According to the petitioner, all conditions required for export of services were fulfilled, and the supplies were accordingly disclosed as export of services without payment of GST.
