Case Law Details
Mahalaxmi Exports Vs Commissioner of Delhi GST And Another & Ors. (Delhi High Court)
Introduction: In the case of Mahalaxmi Exports vs. Commissioner of Delhi GST and Another & Ors., the Delhi High Court addressed an essential issue concerning the timely filing of Input Tax Credit (ITC) refund applications under Section 54(1) of the Central Goods and Services Tax Act, 2017 (CGST Act). The High Court directed the processing of the refund application within the stipulated time.
Background of the Case: Mahalaxmi Exports (referred to as “the petitioner”) filed a petition challenging the orders dated 28.01.2022 and 21.06.2023, which pertained to the denial of refund of its unutilized Input Tax Credit (ITC) related to zero-rated supplies.
The petitioner had submitted a refund application on 28.11.2021, seeking a refund of unutilized ITC totaling ₹9,45,816/- (₹4,72,908/- under the Central Goods and Services Tax Act, 2017 and ₹4,72,908/- under the State Goods and Services Tax Act, 2017). This refund was claimed for the period from April 2018 to March 2019.
The authorities acknowledged the petitioner’s application on 30.12.2021 by issuing the necessary GST-RFD-02 form. However, on the same day, they issued a Show Cause Notice (SCN) in Form GST-RFD-08, proposing to reject the application as time-barred.
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