Home» Circulars» V. Important Manual Filing And Processing Of Un Utilized Itc Gst Refund Claims In Respect Of Exports Effected Against Lut Bond

Dear Members,

 

As  you are aware,  delay in refund of  IGST paid on purchases by exporters has been a cause of concern for exporters who have exported against LUT/ Bond.    The refunds for such unutilised ITC   were supposed to be delayed due to non-availability  of  RFD-01/ module on GST Portal.

 

The council has regularly taken up this issue with the CBEC/ GST Wing to expedite  the process of  refund in such cases.

 

Taking cognizance  of representations from the trade,  GST Policy Wing (CBEC)  has  now issued the
 Circular No. 17/17/2017 – GST dated  15th November, 2017   titled  “Manual filing and processing of refund claims in respect of zero-rated supplies”.    Besides, notification No. 55/2017 – Central Tax dated 15.11.2017 has also been issued regarding FORM GST RFD-01A.

 

Due to the non-availability of the refund module on the common portal, it has been decided by the competent authority, that the applications/documents/forms pertaining to refund claims on account of zero-rated supplies shall be filed and processed manually till further orders.

 

As you are aware,  a registered person may make zero-rated supplies of goods or services or both on payment of integrated tax and claim refund of the tax so paid, or make zero-rated supplies of goods or services or both under bond or Letter of Undertaking without payment of integrated tax and claim refund of unutilized input tax credit in relation to such zero rated supplies.

 

For the sake of clarity and uniformity, the process of filing and processing of refunds manually is briefly tabulated (as per circular) as below:

 

Filing of Refund Claims: Sl. No.	Category of Refund	Process of Filing
1.	Refund of IGST paid on export of goods	No separate application is required as shipping bill itself will be treated as application for refund.
2.	Refund of IGST paid on export of services / zero rated supplies to SEZ units or SEZ developers	Printout of FORM GST RFD-01A needs to be filed manually with the jurisdictional GST officer (only at one place - Centre or State) along with relevant documentary evidences, wherever applicable.
3.	Refund of unutilized input tax credit due to the accumulation of credit of tax paid on inputs or input services used in making zero-rated supplies of goods or services or both	FORM GST RFD-01A needs to be filed on the common portal. The amount of credit claimed as refund would be debited in the electronic credit ledger and the common portal shall generate a proof of debit (ARN- Acknowledgement Receipt Number) which would be mentioned in the FORM GST RFD-01A submitted manually, along with the print out of FORM GST RFD-01A to the jurisdictional proper officer, and with all necessary documentary evidences as applicable (as per details in statement 3 or 5 of Annexure to FORM GST RFD-01), within the time stipulated for filing of such refund under the CGST Act.

 

The registered person needs to file the refund claim with the jurisdictional tax authority to which the taxpayer has been assigned as per the administrative order issued in this regard by the Chief Commissioner of Central Tax and the Commissioner of State Tax. In case such an order has not been issued in the State, the registered person is at liberty to apply for refund before the Central Tax Authority or State Tax Authority till the administrative mechanism for assigning of taxpayers to respective authority is implemented. However, in the latter case, an undertaking is required to be submitted stating that the claim for sanction of refund has been made to only one of the authorities. It is reiterated that the Central Tax officers shall facilitate the processing of the refund claims of all registered persons whether or not such person was registered with the Central Government in the earlier regime.

 

Members are requested to take note  of  same and do the needful submission accordingly.  for further details, the above said circular/notification are available for download using below links:

 

17/2017

View(434 KB)

15-11-2017

Manual filing and processing of refund claims in respect of zero-rated supplies .

 

http://www.cbec.gov.in/htdocs-cbec/gst/Circular%20No.%2017-GST.pdf

 

55/2017-Central Tax ,dt. 15-11-2017

View (504 KB)

Twelfth amendment to CGST Rules, 2017

 

http://www.cbec.gov.in/resources//htdocs-cbec/gst/notfctn-55-central-tax-english.pdf

 

Technical Issues, if any, can be highlighted to helpdesk@gst.gov.in under cc to  ed@chemexcil.gov.in & Deepak.gupta@chemexcil.gov.in .

 

Thanking You,

Yours faithfully,

 

(S. G. Bharadi)
EXECUTIVE DIRECTOR

CHEMEXCIL