Refunds Under GST
Refund allowed in following cases:
Relevant date for some situation –
|Situation of Refund
|Years from the Relevant Date as under
|On account of excess payment
|Date of payment of tax
|On account of Export of Goods
|Date on which proper officer gives an order for export known as “LET EXPORT ORDER”
|On account of Export of Services
|Date of payment received in convertible Foreign Exchange.
|On account of finalization of provisional Assessment
|Date of the finalization order
|In pursuance of an appellate authority’s order in favour of the taxpayer
|Date of communication of the appellate authority’s order
|On account of accumulated credit of GST in case of a liability to pay service tax in partial reverse charge cases
|Date of providing of service
Filing of Refund Claim
Any person, except the persons covered by notification issued under section 55, claiming refund of any tax, interest, penalty, fees or any other amount paid by him, may file an application in FORM GST RFD-01 electronically through the Common Portal either directly or through a Facilitation Centre notified by the Commissioner.
An acknowledgement in FORM GST RFD-02 shall be made available to the applicant through the Common Portal electronically, clearly indicating the date of filing of the claim for refund.
Grant of refund
The refund relating to an application if found in order, will be sanctioned within sixty days from the date of receipt of application.
In case of refund claim on account of export of goods and/or services, the proper officer may refund ninety percent of the total amount claimed on provisional basis within a period not excessing 7 days from the date of acknowledgement of refund claim. This refund of 90% will be on a provisional basis, and will be subject to conditions, limitations and safeguards. Remaining ten percent may be refunded after due verification of documents furnished by the applicant.
Rejection of Refund
No refund shall be granted or paid to an applicant, if the amount is less than rupees one thousand.If the refund claim is made after the relevant date, the refund claim would be rejected at the threshold and there is no provision in the Act to condone the delay in filing refund claim and accept delayed refund claims.