Case Law Details
Chegg India Pvt Limited Vs Commissioner of Central Goods And Services Tax Delhi East & Anr. (Delhi High Court)
In a significant ruling, the Delhi High Court set aside the GST Refund claim rejection order concerning Chegg India Pvt Ltd. The court observed that the rejection order was passed without giving reasons in Form GST-RFD-08, thus violating the prescribed norms.
Chegg India Pvt Ltd, an entity engaged in software development, content development, marketing, and other IT enabled services, exports education services to recipients in seventy countries without payment of GST. These services are considered Zero Rated Supplies under the Integrated Goods & Services Tax Act, 2017. Chegg filed for a refund of the Input Tax Credit (ITC) relating to these input services, which was rejected. The Delhi High Court’s decision highlights the criticality of providing clear reasons while rejecting refund claims, a lapse noticed in this case.
This ruling underscores the importance of due process and transparency in the implementation of tax laws. The Delhi High Court’s verdict marks a significant development in ensuring businesses’ rights to appeal and be informed of reasons for decisions impacting their financial claims.
FULL TEXT OF THE JUDGMENT/ORDER OF DELHI HIGH COURT
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