Cognizant Technology Solutions India Private Limited Vs Assistant Commissioner of State Taxes (Telangana High Court)
Telangana High Court Directs Cognizant to Pursue Statutory Appeal Against Rejection of SEZ IGST Refund Claim
The Telangana High Court declined to entertain a writ petition challenging the rejection of an IGST refund claim of over ₹13.09 crore filed by an SEZ unit in respect of group health insurance services. Holding that the dispute involved questions on the merits of the refund claim, the Court relegated the petitioner to the statutory appellate remedy and directed that any delay in filing the appeal be considered sympathetically in view of the pendency of the writ proceedings.
Introduction
In M/s. Cognizant Technology Solutions India Private Limited v. Assistant Commissioner of State Taxes & Others, the Telangana High Court examined whether a challenge to the rejection of an SEZ refund claim could be entertained in writ jurisdiction when an efficacious appellate remedy was available under the GST law.
Facts of the Case
The petitioner, an SEZ unit, challenged a refund rejection order dated 08.12.2025 denying its claim for refund of IGST amounting to ₹13,09,78,306/- paid on group health insurance services availed during November and December 2023. The petitioner contended that the refund sanctioning authority had erroneously treated the claim as one relating to zero-rated supplies and had wrongly characterized the insurance services as being for personal consumption.
