Recyclib Private Limited Vs Commissioner of Delhi Goods And Services Tax & Ors. (Delhi High Court)
The Delhi High Court disposed of a writ petition concerning interest on a GST refund. The petitioner, engaged in exporting unwrought cobalt powder used in scrap batteries, had sought a refund of Rs.31,44,891.77 for tax paid on exported goods through an application dated 22.01.2022. The refund was rejected on 22.04.2024, but the Appellate Authority allowed the petitioner’s appeal on 06.01.2026 and set aside the rejection.
Following the appellate order, the petitioner applied for refund on 27.03.2026, and the refund amount was released. The petitioner then claimed interest under Section 56 of the CGST Act. The respondents submitted that the petitioner should approach the Department.
The Court noted that Section 56 provides for interest where a refund under Section 54(5) is not made within 60 days, including refunds arising from final orders of adjudicating or appellate authorities, tribunals or courts. The Court permitted the petitioner to approach the competent authority for interest under Section 56 and directed that any such application be considered and decided in accordance with law.
FULL TEXT OF THE JUDGMENT/ORDER OF DELHI HIGH COURT
1. The Petitioner claims to be engaged in the business of export of unwrought cobalt powder used in scrap batteries.
