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CBIC allows Refund Application for Tax Periods 01.07.2017 to 31.03.2018 in FORM GST RFD-01A for IGST paid on Export Services & Supplies made to SEZ

While filing Form GSTR-3B, registered persons were required to declare the details of export of services on payment of IGST or zero-rated supplies made to an SEZ unit/developer on payment of IGST. 

And on such declared amount, registered persons were entitles to claim refund of GST.

The details of such supplies are to be filled in column 3.1(b) (zero-rated supplies) of FORM GSTR-3B.

However, registered persons had mistakenly showed such supplies in the Table under column 3.1(a) (outward taxable supplies) of FORM GSTR-3B.

“Due to this error, they were not able to file the refund application in FORM GST RFD-01A. This was because of an inbuilt feature of validation check on the common portal which restricted the refund amount claimed to the amount mentioned under column 3.1(b) of FORM GSTR-3B filed for the corresponding tax period”.

Therefore, to give relief to the taxpayers and allow them to file application for GST refund, a circular has been issued which states that “The taxpayers shall be allowed to file the refund application for the tax periods from 01.07.2017 to 31.03.2018 in FORM GST RFD-01A on the common portal”.

However, the amount of refund claimed shall not be more than the aggregate amount declared in the Table under columns 3.1(a), 3.1(b) and 3.1(c) of FORM GSTR-3B filed for the corresponding tax period.

Further, It has been decided to extend the period of the relief, by way of the relaxed validation till 30.06.2019 for those registered taxpayers who have committed the above errors even for tax periods after March, 2018 and are unable to claim refund of the taxes paid on such supplies.

Exporters are encouraged to avail the benefit of this extension.

Author: Niranjan Reddy

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