Section 54 – Refund of tax of CGST ACT, 2017<\/p>\n
54. (1) Any person claiming refund of any tax and interest, if any, paid on such tax or
\nany other amount paid by him, may make an application before the expiry of two years from
\nthe relevant date in such form and manner as may be prescribed:
\nProvided that a registered person, claiming refund of any balance in the electronic
\ncash ledger in accordance with the provisions of sub-section (6) of section 49, may claim
\nsuch refund in the return furnished under section 39 in such manner as may be prescribed.
\n(2) A specialised agency of the United Nations Organisation or any Multilateral Financial
\nInstitution and Organisation notified under the United Nations (Privileges and Immunities)
\nAct, 1947, Consulate or Embassy of foreign countries or any other person or class of persons,
\nas notified under section 55, entitled to a refund of tax paid by it on inward supplies of goods
\nor services or both, may make an application for such refund, in such form and manner as
\nmay be prescribed, before the expiry of six months from the last day of the quarter in which
\nsuch supply was received.<\/p>\n
(3) Subject to the provisions of sub-section (10), a registered person may claim refund
\nof any unutilised input tax credit at the end of any tax period:
\nProvided that no refund of unutilised input tax credit shall be allowed in cases other
\nthan\u2013\u2013
\n(i) zero rated supplies made without payment of tax;
\n(ii) where the credit has accumulated on account of rate of tax on inputs being
\nhigher than the rate of tax on output supplies (other than nil rated or fully exempt
\nsupplies), except supplies of goods or services or both as may be notified by the
\nGovernment on the recommendations of the Council:
\nProvided further that no refund of unutilised input tax credit shall be allowed in
\ncases where the goods exported out of India are subjected to export duty:
\nProvided also that no refund of input tax credit shall be allowed, if the supplier of
\ngoods or services or both avails of drawback in respect of central tax or claims refund
\nof the integrated tax paid on such supplies.
\n(4) The application shall be accompanied by\u2014
\n(a) such documentary evidence as may be prescribed to establish that a refund
\nis due to the applicant; and
\n(b) such documentary or other evidence (including the documents referred to in
\nsection 33) as the applicant may furnish to establish that the amount of tax and interest,
\nif any, paid on such tax or any other amount paid in relation to which such refund is
\nclaimed was collected from, or paid by, him and the incidence of such tax and interest
\nhad not been passed on to any other person:
\nProvided that where the amount claimed as refund is less than two lakh rupees,
\nit shall not be necessary for the applicant to furnish any documentary and other
\nevidences but he may file a declaration, based on the documentary or other evidences
\navailable with him, certifying that the incidence of such tax and interest had not been
\npassed on to any other person.
\n(5) If, on receipt of any such application, the proper officer is satisfied that the whole
\nor part of the amount claimed as refund is refundable, he may make an order accordingly and
\nthe amount so determined shall be credited to the Fund referred to in section 57.
\n(6) Notwithstanding anything contained in sub-section (5), the proper officer may,
\nin the case of any claim for refund on account of zero-rated supply of goods or services or
\nboth made by registered persons, other than such category of registered persons as may
\nbe notified by the Government on the recommendations of the Council, refund on a
\nprovisional basis, ninety per cent. of the total amount so claimed, excluding the amount of
\ninput tax credit provisionally accepted, in such manner and subject to such conditions,
\nlimitations and safeguards as may be prescribed and thereafter make an order under
\nsub-section (5) for final settlement of the refund claim after due verification of documents
\nfurnished by the applicant.
\n(7) The proper officer shall issue the order under sub-section (5) within sixty days from
\nthe date of receipt of application complete in all respects.
\n(8) Notwithstanding anything contained in sub-section (5), the refundable amount
\nshall, instead of being credited to the Fund, be paid to the applicant, if such amount is
\nrelatable to\u2014
\n(a) refund of tax paid on zero-rated supplies of goods or services or both or on
\ninputs or input services used in making such zero-rated supplies;
\n(b) refund of unutilised input tax credit under sub-section (3);<\/p>\n
(c) refund of tax paid on a supply which is not provided, either wholly or partially,
\nand for which invoice has not been issued, or where a refund voucher has been issued;
\n(d) refund of tax in pursuance of section 77;
\n(e) the tax and interest, if any, or any other amount paid by the applicant, if he
\nhad not passed on the incidence of such tax and interest to any other person; or
\n(f) the tax or interest borne by such other class of applicants as the Government
\nmay, on the recommendations of the Council, by notification, specify.
\n(9) Notwithstanding anything to the contrary contained in any judgment, decree,
\norder or direction of the Appellate Tribunal or any court or in any other provisions of this Act
\nor the rules made thereunder or in any other law for the time being in force, no refund shall be
\nmade except in accordance with the provisions of sub-section (8).
\n(10) Where any refund is due under sub-section (3) to a registered person who has
\ndefaulted in furnishing any return or who is required to pay any tax, interest or penalty, which
\nhas not been stayed by any court, Tribunal or Appellate Authority by the specified date, the
\nproper officer may\u2014
\n(a) withhold payment of refund due until the said person has furnished the
\nreturn or paid the tax, interest or penalty, as the case may be;
\n(b) deduct from the refund due, any tax, interest, penalty, fee or any other amount
\nwhich the taxable person is liable to pay but which remains unpaid under this Act or
\nunder the existing law.
\nExplanation.\u2013\u2013For the purposes of this sub-section, the expression \u201cspecified date\u201d
\nshall mean the last date for filing an appeal under this Act.
\n(11) Where an order giving rise to a refund is the subject matter of an appeal or further
\nproceedings or where any other proceedings under this Act is pending and the Commissioner
\nis of the opinion that grant of such refund is likely to adversely affect the revenue in the said
\nappeal or other proceedings on account of malfeasance or fraud committed, he may, after
\ngiving the taxable person an opportunity of being heard, withhold the refund till such time as
\nhe may determine.
\n(12) Where a refund is withheld under sub-section (11), the taxable person shall,
\nnotwithstanding anything contained in section 56, be entitled to interest at such rate not
\nexceeding six per cent. as may be notified on the recommendations of the Council, if as a
\nresult of the appeal or further proceedings he becomes entitled to refund.
\n(13) Notwithstanding anything to the contrary contained in this section, the amount
\nof advance tax deposited by a casual taxable person or a non-resident taxable person under
\nsub-section (2) of section 27, shall not be refunded unless such person has, in respect of the
\nentire period for which the certificate of registration granted to him had remained in force,
\nfurnished all the returns required under section 39.
\n(14) Notwithstanding anything contained in this section, no refund under sub-section (5)
\nor sub-section (6) shall be paid to an applicant, if the amount is less than one thousand rupees.
\nExplanation.\u2014For the purposes of this section,\u2013\u2013
\n(1) \u201crefund\u201d includes refund of tax paid on zero-rated supplies of goods or
\nservices or both or on inputs or input services used in making such zero-rated supplies,
\nor refund of tax on the supply of goods regarded as deemed exports, or refund of
\nunutilised input tax credit as provided under sub-section (3).
\n(2) \u201crelevant date\u201d means\u2014
\n(a) in the case of goods exported out of India where a refund of tax paid is
\navailable in respect of goods themselves or, as the case may be, the inputs or
\ninput services used in such goods,\u2013\u2013<\/p>\n
(i) if the goods are exported by sea or air, the date on which the ship
\nor the aircraft in which such goods are loaded, leaves India; or
\n(ii) if the goods are exported by land, the date on which such goods
\npass the frontier; or
\n(iii) if the goods are exported by post, the date of despatch of goods
\nby the Post Office concerned to a place outside India;
\n(b) in the case of supply of goods regarded as deemed exports where a
\nrefund of tax paid is available in respect of the goods, the date on which the
\nreturn relating to such deemed exports is furnished;
\n(c) in the case of services exported out of India where a refund of tax paid
\nis available in respect of services themselves or, as the case may be, the inputs
\nor input services used in such services, the date of\u2013\u2013
\n(i) receipt of payment in convertible foreign exchange, where the
\nsupply of services had been completed prior to the receipt of such payment;
\nor
\n(ii) issue of invoice, where payment for the services had been received
\nin advance prior to the date of issue of the invoice;
\n(d) in case where the tax becomes refundable as a consequence of judgment,
\ndecree, order or direction of the Appellate Authority, Appellate Tribunal or any
\ncourt, the date of communication of such judgment, decree, order or direction;
\n(e) in the case of refund of unutilised input tax credit under
\nsub-section (3), the end of the financial year in which such claim for refund
\narises;
\n(f) in the case where tax is paid provisionally under this Act or the rules
\nmade thereunder, the date of adjustment of tax after the final assessment thereof;
\n(g) in the case of a person, other than the supplier, the date of receipt of
\ngoods or services or both by such person; and
\n(h) in any other case, the date of payment of tax.<\/p>\n","protected":false},"excerpt":{"rendered":"
Section 54 – Refund of tax of CGST ACT, 2017 54. (1) Any person claiming refund of any tax and interest, if any, paid on such tax or any other amount paid by him, may make an application before the expiry of two years from the relevant date in such form and manner as may … Continue reading “Section 54 – Refund of tax of CGST ACT, 2017”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16],"tags":[],"_links":{"self":[{"href":"https:\/\/khannaandassociates.com\/blog\/wp-json\/wp\/v2\/posts\/234"}],"collection":[{"href":"https:\/\/khannaandassociates.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/khannaandassociates.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/khannaandassociates.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/khannaandassociates.com\/blog\/wp-json\/wp\/v2\/comments?post=234"}],"version-history":[{"count":1,"href":"https:\/\/khannaandassociates.com\/blog\/wp-json\/wp\/v2\/posts\/234\/revisions"}],"predecessor-version":[{"id":235,"href":"https:\/\/khannaandassociates.com\/blog\/wp-json\/wp\/v2\/posts\/234\/revisions\/235"}],"wp:attachment":[{"href":"https:\/\/khannaandassociates.com\/blog\/wp-json\/wp\/v2\/media?parent=234"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/khannaandassociates.com\/blog\/wp-json\/wp\/v2\/categories?post=234"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/khannaandassociates.com\/blog\/wp-json\/wp\/v2\/tags?post=234"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}