GST Refund

Overview

A GST refund under Section 54 of the CGST Act, 2017 lets you recover tax or credit that is not due to the government. Common refund categories include:

• Excess balance in the electronic cash ledger
• Tax paid under the wrong head, such as IGST instead of CGST and SGST (Section 77)
• Excess tax paid by mistake
• Refund arising from appellate or assessment orders
• Deemed exports, exports and inverted duty structure

Refunds are filed in Form GST RFD-01, generally within two years from the relevant date. The officer may issue a deficiency memo in RFD-03 or a show cause notice in RFD-08, and the final order is issued in RFD-06. Interest at 6 percent per annum is payable if the refund is delayed beyond 60 days.

Company Mitra identifies the correct category, prepares the claim with proper documents, files it and follows up until sanction. This is a starting-from fee. Final fee depends on the refund category, number of periods and queries raised.

Who needs it

• Taxpayers with excess balance in electronic cash ledger
• Businesses that paid tax under the wrong head (IGST instead of CGST and SGST)
• Taxpayers entitled to refund after appeal or assessment orders
• Suppliers of deemed exports and recipients of deemed export supplies
• Taxpayers who paid excess tax by mistake

What's included

Included:

• Identification of correct refund category
• Verification of eligibility and limitation
• Computation of refund and supporting statements
• Filing of Form GST RFD-01 with documents
• Reply to deficiency memo (RFD-03) or show cause (RFD-08)
• Tracking until refund order
• Starting-from fee; final fee depends on refund category and periods

Not included:

• Chartered accountant certificate fee for unjust enrichment where separately required
• Representation in appeal against rejection (separate service)
• Bookkeeping or correction of past returns