Quest Global Engineering Services Private Limited Vs Deputy Commissioner (Madras High Court)
Neutralise alleged excess GST payments through credit note as refund application is time barred
The Hon’ble Madras High Court in Quest Global Engineering Services Private Limited vs The Deputy Commissioner of GST and Central Excise [W.P. No. 12105 of 2020 and WMP No. 14844 of 2020 dated December 12, 2021] directed the taxpayer/assessee to provide proper credit notes to neutralise the alleged excess GST payment as refund claim filed by the taxpayer/assessee is barred by limitation.
Facts
In this case Quest Global Engineering Services Private Limited (“the Petitioner” or “Transferor Company”), wrongly paid tax on ‘non supply of any services either wholly or partially’. Accordingly, the Petitioner filed for refund claim on filed on May 30, 2020 which was after the time limit given under the Section 54 of the Central Goods and Services Tax Act, 2017 (“the CGST Act”).
The Petitioner contended that there was a wrong entry, the system picked up wrong invoices in which tax was already paid by the transferor company and reflected in returns.
Accordingly, refund claim under Section 54 of the CGST Act was rejected by the department as it was barred by limitation.
Issue
Whether the Petitioner is entitled to refund claimed beyond the limitation period?
Held
The Hon’ble Madras High Court in W.P. No. 12105 of 2020 and W.M.P. No. 14844 of 2020 dated on December 12, 2021 held as under:
