How to Apply for refund of tax, interest, penalty, fees or any other amount under GST

Rule-89 of CGST Rules 2017

Appli­ca­tion for refund of tax, inter­est, penal­ty, fees or any other — 

(1)Any per­son, except the per­sons cov­ered under noti­fi­ca­tion issued under sec­tion 55, claim­ing refund of any tax, inter­est, penal­ty, fees or any oth­er amount paid by him, oth­er than refund of inte­grat­ed tax paid on goods export­ed out of India, may file an appli­ca­tion elec­tron­i­cal­ly in FORM GST RFD-01 through the com­mon por­tal, either direct­ly or through a Facil­i­ta­tion Cen­tre noti­fied by the Commissioner:

Pro­vid­ed that any claim for refund relat­ing to bal­ance in the elec­tron­ic cash ledger in accor­dance with the pro­vi­sions of sub-sec­tion (6) of sec­tion 49 may be made through the return fur­nished for the rel­e­vant tax peri­od in FORM GSTR‑3 or FORM GSTR‑4 or FORM GSTR‑7, as the case may be:

Pro­vid­ed fur­ther that in respect of sup­plies to a Spe­cial Eco­nom­ic Zone unit or a Spe­cial Eco­nom­ic Zone devel­op­er, the appli­ca­tion for refund shall be filed by the –

• sup­pli­er of goods after such goods have been admit­ted in full in the Spe­cial Eco­nom­ic Zone for autho­rised oper­a­tions, as endorsed by the spec­i­fied offi­cer of the Zone;
• sup­pli­er of ser­vices along with such evi­dence regard­ing receipt of ser­vices for autho­rised oper­a­tions as endorsed by the spec­i­fied offi­cer of the Zone:

Pro­vid­ed also that in respect of sup­plies regard­ed as deemed exports, the appli­ca­tion shall be filed by the recip­i­ent of deemed export sup­plies:

Pro­vid­ed also that refund of any amount, after adjust­ing the tax payable by the appli­cant out of the advance tax deposit­ed by him under sec­tion 27 at the time of reg­is­tra­tion, shall be claimed in the last return required to be fur­nished by him.

• The appli­ca­tion under sub-rule (1) shall be accom­pa­nied by any of the fol­low­ing doc­u­men­tary evi­dences in Annex­ure 1 in Form GST RFD-01, as applic­a­ble, to estab­lish that a refund is due to the appli­cant, namely:- 
  • the ref­er­ence num­ber of the order and a copy of the order passed by the prop­er offi­cer or an appel­late author­i­ty or Appel­late Tri­bunal or court result­ing in such refund or ref­er­ence num­ber of the pay­ment of the amount spec­i­fied in sub-sec­tion (6) of sec­tion 107 and sub-sec­tion (8) of sec­tion 112 claimed as refund;
  • a state­ment con­tain­ing the num­ber and date of ship­ping bills or bills of export and the num­ber and the date of the rel­e­vant export invoic­es, in a case where the refund is on account of export of goods;
  • a state­ment con­tain­ing the num­ber and date of invoic­es and the rel­e­vant Bank Real­i­sa­tion Cer­tifi­cates or For­eign Inward Remit­tance Cer­tifi­cates, as the case may be, in a case where the refund is on account of the export of services;
  • a state­ment con­tain­ing the num­ber and date of invoic­es as pro­vid­ed in rule 46 along with the evi­dence regard­ing the endorse­ment spec­i­fied in the sec­ond pro­vi­so to

sub-rule (1) in the case of the sup­ply of goods made to a Spe­cial Eco­nom­ic Zone unit or a Spe­cial Eco­nom­ic Zone developer;

• a state­ment con­tain­ing the num­ber and date of invoic­es, the evi­dence regard­ing the endorse­ment spec­i­fied in the sec­ond pro­vi­so to sub-rule (1) and the details of pay­ment, along with the proof there­of, made by the recip­i­ent to the sup­pli­er for autho­rised oper­a­tions as defined under the Spe­cial Eco­nom­ic Zone Act, 2005, in a case where the refund is on account of sup­ply of ser­vices made to a Spe­cial Eco­nom­ic Zone unit or a Spe­cial Eco­nom­ic Zone developer;
• a dec­la­ra­tion to the effect that the Spe­cial Eco­nom­ic Zone unit or the Spe­cial Eco­nom­ic Zone devel­op­er has not availed the input tax cred­it of the tax paid by the sup­pli­er of goods or ser­vices or both, in a case where the refund is on account of sup­ply of goods or ser­vices made to a Spe­cial Eco­nom­ic Zone unit or a Spe­cial Eco­nom­ic Zone developer;
• a state­ment con­tain­ing the num­ber and date of invoic­es along with such oth­er evi­dence as may be noti­fied in this behalf, in a case where the refund is on account of deemed exports;
• a state­ment con­tain­ing the num­ber and the date of the invoic­es received and issued dur­ing a tax peri­od in a case where the claim per­tains to refund of any unutilised input tax cred­it under sub-sec­tion (3) of sec­tion 54 where the cred­it has accu­mu­lat­ed on account of the rate of tax on the inputs being high­er than the rate of tax on out­put sup­plies, oth­er than nil-rat­ed or ful­ly exempt supplies;
• the ref­er­ence num­ber of the final assess­ment order and a copy of the said order in a case where the refund aris­es on account of the final­i­sa­tion of pro­vi­sion­al assessment;
• a state­ment show­ing the details of trans­ac­tions con­sid­ered as intra-State sup­ply but which is sub­se­quent­ly held to be inter-State supply;
• a state­ment show­ing the details of the amount of claim on account of excess pay­ment of tax;
• a dec­la­ra­tion to the effect that the inci­dence of tax, inter­est or any oth­er amount claimed as refund has not been passed on to any oth­er per­son, in a case where the amount of refund claimed does not exceed two lakh rupees:

Pro­vid­ed that a dec­la­ra­tion is not required to be fur­nished in respect of the cas­es cov­ered under clause (a) or clause (b) or clause © or clause (d) or clause (f) of sub-sec­tion (8) of sec­tion 54;

• a Cer­tifi­cate in Annex­ure 2 of FORM GST RFD-01 issued by a char­tered accoun­tant or a cost accoun­tant to the effect that the inci­dence of tax, inter­est or any oth­er amount claimed as refund has not been passed on to any oth­er per­son, in a case where the amount of refund claimed exceeds two lakh rupees:

Pro­vid­ed that a cer­tifi­cate is not required to be fur­nished in respect of cas­es cov­ered under clause (a) or clause (b) or clause © or clause (d) or clause (f) of sub- sec­tion (8) of sec­tion 54;

Expla­na­tion.– For the pur­pos­es of this rule-

• in case of refunds referred to in clause © of sub-sec­tion (8) of sec­tion 54, the expres­sion “invoice” means invoice con­form­ing to the pro­vi­sions con­tained in sec­tion 31;
• where the amount of tax has been recov­ered from the recip­i­ent, it shall be deemed that the inci­dence of tax has been passed on to the ultimate
• Where the appli­ca­tion relates to refund of input tax cred­it, the elec­tron­ic cred­it ledger shall be deb­it­ed by the appli­cant by an amount equal to the refund so
• In the case of zero-rat­ed sup­ply of goods or ser­vices or both with­out pay­ment of tax under bond or let­ter of under­tak­ing in accor­dance with the pro­vi­sions of sub-sec­tion (3) of sec­tion 16 of the Inte­grat­ed Goods and Ser­vices Tax Act, 2017 (13 of 2017), refund of input tax cred­it shall be grant­ed as per the fol­low­ing formula -

Refund Amount = (Turnover of zero-rat­ed sup­ply of goods + Turnover of zero-rat­ed sup­ply of ser­vices) x Net ITC ÷Adjust­ed Total Turnover

Where,-

• “Refund amount” means the max­i­mum refund that is admissible;
• “Net ITC” means input tax cred­it availed on inputs and input ser­vices dur­ing the rel­e­vant period;
• “Turnover of zero-rat­ed sup­ply of goods” means the val­ue of zero-rat­ed sup­ply of goods made dur­ing the rel­e­vant peri­od with­out pay­ment of tax under bond or let­ter of undertaking;
• “Turnover of zero-rat­ed sup­ply of ser­vices” means the val­ue of zero-rat­ed sup­ply of ser­vices made with­out pay­ment of tax under bond or let­ter of under­tak­ing, cal­cu­lat­ed in the fol­low­ing man­ner, namely:-

Zero-rat­ed sup­ply of ser­vices is the aggre­gate of the pay­ments received dur­ing the rel­e­vant peri­od for zero-rat­ed sup­ply of ser­vices and zero-rat­ed sup­ply of ser­vices where sup­ply has been com­plet­ed for which pay­ment had been received in advance in any peri­od pri­or to the rel­e­vant peri­od reduced by advances received for zero-rat­ed sup­ply of ser­vices for which the sup­ply of ser­vices has not been com­plet­ed dur­ing the rel­e­vant period;

• “Adjust­ed Total turnover” means the turnover in a State or a Union ter­ri­to­ry, as defined under sub-sec­tion (112) of sec­tion 2, exclud­ing the val­ue of exempt sup­plies oth­er than zero-rat­ed sup­plies, dur­ing the rel­e­vant period;
• “Rel­e­vant peri­od” means the peri­od for which the claim has been
• In the case of refund on account of invert­ed duty struc­ture, refund of input tax cred­it shall be grant­ed as per the fol­low­ing formula -

Max­i­mum Refund Amount = {(Turnover of invert­ed rat­ed sup­ply of goods) x Net ITC ÷ Adjust­ed Total Turnover} — tax payable on such invert­ed rat­ed sup­ply of goods

Expla­na­tion.- For the pur­pos­es of this sub rule, the expres­sions “Net ITC” and “Adjust­ed Total turnover” shall have the same mean­ings as assigned to them in sub-rule (4).