Indorama India Private Limited Vs State of West Bengal & Ors. (Calcutta High Court)
The Calcutta High Court considered a challenge to an appellate order dated April 26, 2024, passed under Section 107 of the Central Goods and Services Tax Act, 2017, whereby the appellate authority rejected a refund sanction order dated February 24, 2023. The petitioner had filed a refund application in Form GST RFD-01 on December 28, 2022, seeking refund of Rs. 72,31,368/- towards Integrated Goods and Services Tax paid on the ocean freight component for imports made between June 1, 2018 and June 30, 2018, relying on the Supreme Court judgment in the Mohit Minerals case.
The refund sanctioning authority had allowed the refund claim. However, the department challenged the order in appeal under Section 107 of the CGST Act. The appellate authority allowed the appeal on the ground that the refund sanctioning authority had not examined or recorded findings regarding whether the shipping lanes involved were foreign shipping lines or Indian shipping lines. The appellate authority also observed that the bill of lading produced by the petitioner was illegible and could not substantiate the claim that foreign shipping lines were engaged by the foreign supplier.
FULL TEXT OF THE JUDGMENT/ORDER OF CALCUTTA HIGH COURT
