Central Board of Indirect Taxes and Customs (CBIC) has issued Circular No. 110/29/2019 – GST dated 3rd October, 2019 to clarify that the registered persons may be allowed to re-file the refund claim for the period and the category under which the NIL claim has inadvertently been filed.
Key Points of the Circular are:
1. It has been clarified that a registered person who has filed a NIL refund claim in FORM GST RFD-01A/RFD-01 for a given period under a particular category, may again apply for refund for the same period under the same category only if he satisfies the following two conditions:
- The registered person must have filed a NIL refund claim in FORM GST RFD-01A/RFD-01 for a certain period under a particular category and
- No refund claims in FORM GST RFD-01A/RFD-01 must have been filed by the registered person under the same category for any subsequent period.
2. The category for which no refund claims in FORM GST RFD-01A/RFD-01 must have been filed by the registered person under the same category for any subsequent period as mentioned in the condition (b) above are :
- Refund of unutilized input tax credit (ITC) on account of exports without payment of tax;
- Refund of unutilized ITC on account of supplies made to SEZ Unit/SEZ Developer without payment of tax;
- Refund of unutilized ITC on account of accumulation due to inverted tax structure;
Therefore, in all the other cases, registered persons shall be allowed to re-apply even if the condition (b) is not satisfied.
3. Registered persons satisfying the above conditions may file the refund claim under “Any Other” category instead of the category under which the NIL refund claim has already been filed. However, the refund claim should pertain to the same period for which the NIL application was filed. The application under the “Any Other” category shall also be accompanied by all the supporting documents which would be required to be otherwise submitted with the refund claim.
4. On receipt of the claim, the proper officer shall,
- Calculate the admissible refund amount as per the applicable rules and in the manner detailed in para 3 of Circular No.59/33/2018-GST dated 04.09.2018, wherever applicable.
- Further, upon scrutiny of the application for completeness and eligibility, if the proper officer is satisfied that the whole or any part of the amount claimed is payable as refund, he shall request the taxpayer in writing, if required, to debit the said amount from his electronic credit ledger through FORM GST DRC-03.
- Once the proof of such debit is received by the proper officer, he shall proceed to issue the refund order in FORM GST RFD-06 and the payment order in FORM GST RFD-05.
Download Circular: circular-cgst-110