Rule

Description

Payment of tax

85.

Electronic Liability Register

(1)

The
electronic liability register specified under sub- section (7) of section 49
shall be maintained in FORM GST PMT-01
for each person liable to pay tax, interest, penalty, late fee or any other
amount on the common portal and all amounts payable by him shall be debited
to the said register.

(2)

The
electronic liability register of the person shall be debited by-

(a)   
the amount
payable towards tax, interest, late fee or any other amount payable as per
the return furnished by the said person;

(b)  
the amount
of tax, interest, penalty or any other amount payable as determined by a
proper officer in pursuance of any proceedings under the Act or as
ascertained by the said person;

(c)   
the amount
of tax and interest payable as a result of mismatch under section 42 or
section 43 or section 50; or

(d)  
any amount
of interest that may accrue from time to time.

(3)

Subject
to the provisions of section 49, payment of every liability by a registered
person as per his return shall be made by debiting the electronic credit
ledger maintained as per rule 86 or the electronic cash ledger maintained as
per rule 87 and the electronic liability register shall be credited
accordingly.

(4)

The
amount deducted under section 51, or the amount collected under section 52,
or the amount payable on reverse charge basis, or the amount payable under
section 10, any amount payable towards interest, penalty, fee or any other
amount under the Act shall be paid by debiting the electronic cash ledger
maintained as per rule 87 and the electronic liability register shall be
credited accordingly.

(5)

Any
amount of demand debited in the electronic liability register shall stand
reduced to the extent of relief given by the appellate authority or Appellate
Tribunal or court and the electronic tax liability register shall be credited
accordingly.

(6)

The
amount of penalty imposed or liable to be imposed shall stand reduced partly
or fully, as the case may be, if the taxable person makes the payment of tax,
interest and penalty specified in the show cause notice or demand order and
the electronic liability register shall be credited accordingly.

(7)

A
registered person shall, upon noticing any discrepancy in his electronic
liability ledger, communicate the same to the officer exercising jurisdiction
in the matter, through the common portal in FORM GST PMT-04.

86.

Electronic Credit Ledger

(1)

The
electronic credit ledger shall be maintained in FORM GST PMT-02 for each registered person eligible for input tax
credit under the Act on the common portal and every claim of input tax credit
under the Act shall be credited to the said ledger.

(2)

The
electronic credit ledger shall be debited to the extent of discharge of any
liability in accordance with the provisions of section 49.

(3)

Where
a registered person has claimed refund of any unutilized amount from the
electronic credit ledger in accordance with the provisions of section 54, the
amount to the extent of the claim shall be debited in the said ledger.

(4)

If
the refund so filed is rejected, either fully or partly, the amount debited
under sub- rule (3), to the extent of rejection, shall be re-credited to the
electronic credit ledger by the proper officer by an order made in FORM GST PMT-03.

(5)

Save
as provided in the provisions of this Chapter, no entry shall be made
directly in the electronic credit ledger under any circumstance.

(6)

A
registered person shall, upon noticing any discrepancy in his electronic
credit ledger, communicate the same to the officer exercising jurisdiction in
the matter, through the common portal in FORM
GST PMT-04
.

Explanation.–
For the purposes of this rule, it is hereby clarified that a refund shall be
deemed to be rejected, if the appeal is finally rejected or if the claimant gives
an undertaking to the proper officer that he shall not file an appeal.

87.

Electronic Cash Ledger

(1)

The
electronic cash ledger under sub-section (1) of section 49 shall be
maintained in FORM GST PMT-05 for
each person, liable to pay tax, interest, penalty, late fee or any other
amount, on the common portal for crediting the amount deposited and debiting
the payment there from towards tax, interest, penalty, fee or any other
amount.

(2)

Any
person, or a person on his behalf, shall generate a challan in FORM GST PMT-06 on the common portal
and enter the details of the amount to be deposited by him towards tax,
interest, penalty, fees or any other amount.

Provided
that the challan in FORM GST PMT-06
generated at the common portal shall be valid for a period of 15 days.
[Notification No. 22/2017]

Provided
further that the person supplying OIDAR services from a place outside India
to a non-taxable online recipient referred in Section 14 of IGST Act may also
do so through the Board’s payment system namely, Electronic Accounting System
in Excise and Service Tax from the date to be notified by the Board.

(3)

The
deposit under sub-rule (2) shall be made through any of the following modes,
namely:-

Internet
Banking through authorised banks;

Credit
card or Debit card through the authorised bank;

National
Electronic Fund Transfer or Real Time Gross Settlement from any bank; or

Over
the Counter payment through authorised banks for deposits up to ten thousand
rupees per challan per tax period, by cash, cheque or demand draft:

Provided
that the restriction for deposit up to ten thousand rupees per challan in
case of an Over the Counter payment shall not apply to deposit to be made by

Government
Departments or any other deposit to be made by persons as may be notified by
the Commissioner in this behalf;

Proper
officer or any other officer authorised to recover outstanding dues from any
person, whether registered or not, including recovery made through attachment
or sale of movable or immovable properties;

Proper
officer or any other officer authorised for the amounts collected by way of
cash, cheque or demand draft during any investigation or enforcement activity
or any ad hoc deposit:

Provided
further that a person supplying OIDAR services from a place outside India to
a non-taxable online recipient referred in Section 14 of the IGST Act, 2017
may also make the deposit under sub-rule (2) through international money
transfer through Society for Worldwide Interbank Financial Telecommunication
payment network, from the date to be notified by the Board.
[Notification No. 22/2017]

Explanation.–
For the purposes of this sub-rule, it is hereby clarified that for making
payment of any amount indicated in the challan, the commission, if any,
payable in respect of such payment shall be borne by the person making such
payment.

(4)

Any
payment required to be made by a person who is not registered under the Act,
shall be made on the basis of a temporary identification number generated
through the common portal.

(5)

Where
the payment is made by way of National Electronic Fund Transfer or Real Time
Gross Settlement mode from any bank, the mandate form shall be generated
along with the challan on the common portal and the same shall be submitted
to the bank from where the payment is to be made:

Provided
that the mandate form shall be valid for a period of fifteen days from the
date of generation of challan.

(6)

On
successful credit of the amount to the concerned government account
maintained in the authorised bank, a Challan Identification Number shall be
generated by the collecting bank and the same shall be indicated in the
challan.

(7)

On
receipt of the Challan Identification Number from the collecting bank, the
said amount shall be credited to the electronic cash ledger of the person on
whose behalf the deposit has been made and the common portal shall make
available a receipt to this effect.

(8)

Where
the bank account of the person concerned, or the person making the deposit on
his behalf, is debited but no Challan Identification Number is generated or
generated but not communicated to the common portal, the said person may
represent electronically in FORM GST
PMT-07
through the common portal to the bank or electronic gateway
through which the deposit was initiated.

(9)

Any
amount deducted under section 51 or collected under section 52 and claimed in
FORM GSTR-02 by the registered
taxable person from whom the said amount was deducted or, as the case may be,
collected shall be credited to his electronic cash ledger in accordance with
the provisions of rule 87.

(10)

Where
a person has claimed refund of any amount from the electronic cash ledger,
the said amount shall be debited to the electronic cash ledger.

(11)

If
the refund so claimed is rejected, either fully or partly, the amount debited
under sub-rule (10), to the extent of rejection, shall be credited to the
electronic cash ledger by the proper officer by an order made in FORM GST PMT-03.

(12)

A
registered person shall, upon noticing any discrepancy in his electronic cash
ledger, communicate the same to the officer exercising jurisdiction in the
matter, through the common portal in FORM
GST PMT-04
.

Explanation:

The
refund is deemed to be rejected if the appeal is finally rejected

For
the purposes of this rule, it is hereby clarified that a refund shall be
deemed to be rejected, if the appeal is finally rejected or if the claimant
gives an undertaking to the proper officer that he shall not file an appeal

88.

Identification number for each transaction

(1)

 A unique identification number shall be
generated at the common portal for each debit or credit to the electronic
cash or credit ledger, as the case may be.

(2)

The
unique identification number relating to discharge of any liability shall be
indicated in the corresponding entry in the electronic liability register.

(3)

A
unique identification number shall be generated at the common portal for each
credit in the electronic liability register for reasons other than those
covered under sub-rule (2).

Refund

89.

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

(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 SEZ unit or a SEZ developer, the
application for refund shall be filed by the –

     
supplier
of goods after such goods have been admitted in full in the SEZ 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
may be filed by
[Notification No. 47/2017]

(a)
the recipient of deemed export supplies; or

(b)
the supplier of deemed export supplies in cases where the recipient does not
avail of input tax credit on such supplies and furnishes an undertaking to
the effect that the supplier may claim the refund.

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.

(2)

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:-

(a)  
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;

(b)  
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;

(c)  
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;

(d)  
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;

(e)  
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;

(f)   
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;

(g)  
a
statement containing the number and date of invoices along with the evidences
as notified in
Notification No. 49/2017, in a case where the refund is on account of deemed exports;

(h)  
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;

(i)    
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;

(j)   
a
statement showing the details of transactions considered as intra-State supply
but which is subsequently held to be inter-State supply;

(k)  
a
statement showing the details of the amount of claim on account of excess
payment of tax;

(l)    
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 (c) or clause (d) or clause (f) of sub-section
(8) of section 54;

(m) 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 (c) or clause (d) or clause (f) of sub- section (8)
of section 54;

Explanation.– For the purposes of this rule-

(i)    
in case of
refunds referred to in clause (c) of sub-section (8) of section 54, the
expression “invoice” means
invoice conforming to the provisions contained in
section 31;

(ii)  
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 consumer

(3)

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 claimed.

(4)

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, –

(A) "Refund amount" means the maximum refund that is
admissible;

(B) "Net ITC" means input tax credit availed on
inputs and input services during the relevant period other than the input tax
credit availed for which refund is claimed under sub-rules (4A) or (4B) or
both;

(C) "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, other than the
turnover of supplies in respect of which refund is claimed under sub-rules
(4A) or (4B) or both;

(D) "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;
 

(E) “Adjusted Total Turnover” means the sum total of the value
of-

(a) the turnover in a State/ Union territory, as defined u/s 2(112),
excluding the turnover of services; and

(b) the turnover of zero-rated supply of services determined in
terms of clause (D) above and non zero-rated supply of services, excluding-

(i)   
the value
of exempt supplies other than zero-rated supplies; and

(ii) 
the
turnover of supplies in respect of which refund is claimed under sub-rule
(4A) or (4B) or both, if any, during the relevant period.
[Notification No. 39/2018]

(F) “Relevant period” means the period for which the claim has
been filed.

(4A)

In the case of supplies received on which the supplier has
availed the benefit of the
Notification No. 48/2017, refund of input tax credit, availed in respect of other
inputs or input services used in making zero-rated supply of goods or
services or both, shall be granted.

(4B)

Where the person claiming refund of unutilised input tax
credit on account of zero rated supplies without payment of tax has –

(a) received supplies on which the supplier has availed the
benefit of the
Notification No. 40/2017, Notification No. 41/2017; or

(b) availed the benefit of notification No. 78/2017-Customs,
dated the 13-Oct-2017, published in the Gazette of India, Extraordinary, Part
II, Section 3 (i), vide number G.S.R 1272(E), dated the 13-Oct-2017 or
notification No. 79/2017-Customs, dated the 13-Oct-2017, published in the Gazette
of India, Extraordinary, Part II, Section 3 (i), vide number G.S.R 1299(E),
dated the 13-Oct-2017,

the refund of input tax credit, availed in respect of inputs
received under the said notifications for export of goods and the input tax
credit availed in respect of other inputs or input services to the extent
used in making such export of goods, shall be granted.
[Notification no. 54/2018]

(5)

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 and services) x Net ITC ÷ Adjusted Total Turnover} –
tax payable on such inverted rated supply of goods and services.

Explanation:-
For the purposes of this sub-rule, the expressions –

(a)
“Net ITC” shall mean input tax credit availed on inputs during the relevant
period other than the input tax credit availed for which refund is claimed
under sub-rules (4A) or (4B) or both; and

(b)
“Adjusted Total turnover” shall have the same meaning as assigned to it in
sub-rule (4).
[Notification
No. 21/2018
]

90.

Acknowledgement

(1)

Where the application relates to a claim for refund from the
electronic cash ledger, an acknowledgement in FORM GST RFD-02 shall be made available to the applicant through
the common portal electronically, clearly indicating the date of filing of
the claim for refund and the time period specified in sub-section (7) of
section 54 shall be counted from such date of filing.

(2)

The application for refund, other than claim for refund from
electronic cash ledger, shall be forwarded to the proper officer who shall,
within a period of fifteen days of filing of the said application, scrutinize
the application for its completeness and where the application is found to be
complete in terms of sub-rule (2), (3) and (4) of rule 89, an acknowledgement
in FORM GST RFD-02 shall be made
available to the applicant through the common portal electronically, clearly
indicating the date of filing of the claim for refund and the time period
specified in sub-section (7) of section 54 shall be counted from such date of
filing.

(3)

Where any deficiencies are noticed, the proper officer shall
communicate the deficiencies to the applicant in FORM GST RFD-03 through the common portal electronically,
requiring him to file a fresh refund application after rectification of such
deficiencies.

(4)

Where deficiencies have been communicated in FORM GST RFD-03 under the State Goods
and Service Tax Rules, 2017, the same shall also deemed to have been
communicated under this rule along with the deficiencies communicated under
sub-rule (3).

91.

Grant of provisional refund

(1)

The provisional refund in accordance with the provisions of
sub-section (6) of section 54 shall be granted subject to the condition that
the person claiming refund has, during any period of five years immediately
preceding the tax period to which the claim for refund relates, not been
prosecuted for any offence under the Act or under an existing law where the
amount of tax evaded exceeds 250 lakh rupees.

(2)

The proper officer, after scrutiny of the claim and the
evidence submitted in support thereof and on being prima facie satisfied that
the amount claimed as refund under sub-rule (1) is due to the applicant in
accordance with the provisions of sub-section (6) of section 54, shall make
an order in FORM GST RFD-04,
sanctioning the amount of refund due to the said applicant on a provisional
basis within a period not exceeding seven days from the date of the
acknowledgement under sub-rule (1) or sub-rule (2) of rule 90.

(3)

The proper officer shall issue a payment advice in FORM GST RFD-05 for the amount sanctioned
under sub-rule (2) and the same shall be electronically credited to any of
the bank accounts of the applicant mentioned in his registration particulars
and as specified in the application for refund.

92.

Order sanctioning refund

(1)

Where, upon examination of the application, the proper officer
is satisfied that a refund under sub-section (5) of section 54 is due and
payable to the applicant, he shall make an order in FORM GST RFD-06 sanctioning the amount of refund to which the
applicant is entitled, mentioning therein the amount, if any, refunded to him
on a provisional basis under sub-section (6) of section 54, amount adjusted
against any outstanding demand under the Act or under any existing law and
the balance amount refundable:

Provided that in cases where the amount of refund is
completely adjusted against any outstanding demand under the Act or under any
existing law, an order giving details of the adjustment shall be issued in
Part A of FORM GST RFD-07.

(2)

Where the proper officer or the Commissioner is of the opinion
that the amount of refund is liable to be withheld under the provisions of
sub-section (10) or, as the case may be, sub-section (11) of section 54, he
shall pass an order in Part B of FORM
GST RFD-07
informing him the reasons for withholding of such refund.

(3)

Where the proper officer is satisfied, for reasons to be
recorded in writing, that the whole or any part of the amount claimed as
refund is not admissible or is not payable to the applicant, he shall issue a
notice in FORM GST RFD-08 to the
applicant, requiring him to furnish a reply in FORM GST RFD-09 within a period of fifteen days of the receipt of
such notice and after considering the reply, make an order in FORM GST RFD-06 sanctioning the
amount of refund in whole or part, or rejecting the said refund claim and the
said order shall be made available to the applicant electronically and the
provisions of sub-rule (1) shall, mutatis mutandis, apply to the extent
refund is allowed:

Provided that no application for refund shall be rejected
without giving the applicant an opportunity of being heard.

(4)

Where the proper officer is satisfied that the amount
refundable under sub-rule (1) or sub-rule (2) is payable to the applicant
under sub-section (8) of section 54, he shall make an order in FORM GST RFD-06 and issue a payment
advice in FORM GST RFD-05 for the
amount of refund and the same shall be electronically credited to any of the
bank accounts of the applicant mentioned in his registration particulars and
as specified in the application for refund.

(5)

Where the proper officer is satisfied that the amount
refundable under sub-rule (1) or sub-rule (2) is not payable to the applicant
under sub-section (8) of section 54, he shall make an order in FORM GST RFD-06 and issue an advice
in FORM GST RFD-05, for the amount
of refund to be credited to the Consumer Welfare Fund.

93.

Credit of the amount of rejected refund claim

(1)

Where any deficiencies have been communicated under sub-rule
(3) of rule 90, the amount debited under sub-rule (3) of rule 89 shall be
re-credited to the electronic credit ledger.

(2)

Where any amount claimed as refund is rejected under rule 92,
either fully or partly, the amount debited, to the extent of rejection, shall
be re-credited to the electronic credit ledger by an order made in FORM GST PMT-03.

Explanation– For the purposes of this rule, a refund shall be
deemed to be rejected, if the appeal is finally rejected or if the claimant
gives an undertaking in writing to the proper officer that he shall not file
an appeal.

94.

Order sanctioning interest on delayed
refunds.

 

Where
any interest is due and payable to the applicant under section 56, the proper
officer shall make an order along with a payment advice in FORM GST RFD-05, specifying therein
the amount of refund which is delayed, the period of delay for which interest
is payable and the amount of interest payable, and such amount of interest
shall be electronically credited to any of the bank accounts of the applicant
mentioned in his registration particulars and as specified in the application
for refund.

95.

Refund of tax to certain persons

(1)

Any person eligible to claim refund of tax paid by him on his
inward supplies as per notification issued under section 55 shall apply for
refund in FORM GST RFD-10 once in
every quarter, electronically on the common portal or otherwise, either
directly or through a Facilitation Centre notified by the Commissioner, along
with a statement of the inward supplies of goods or services or both in FORM GSTR-11.
[Notification No. 75/2017]

(2)

An acknowledgement for the receipt of the application for
refund shall be issued in FORM GST
RFD-02
.

(3)

The refund of tax paid by the applicant shall be available if-

a) the inward supplies of goods or services or both were received
from a registered person against a tax invoice;
[Notification No. 75/2017]

b) name and Goods and Services Tax Identification Number or Unique
Identity Number of the applicant is mentioned in the tax invoice; and

c)  such other conditions as may be specified in the notification
are satisfied

(4)

The provisions of rule 92 shall, mutatis mutandis, apply for
the sanction and payment of refund under this rule.

(5)

Where an express provision in a treaty or other international
agreement, to which the President or the Government of India is a party, is
inconsistent with the provisions of this Chapter, such treaty or
international agreement shall prevail.

96.

Refund of integrated tax paid on goods or services exported
out of India

(1)

The shipping bill filed by an exporter of goods  shall be deemed to be
an application for refund of integrated tax paid on the goods exported out of
India and such application shall be deemed to have been filed only when:-

[Notification No. 75/2017]

a)   the person in charge of
the conveyance carrying the export goods duly files an export manifest or an
export report covering the number and the date of shipping bills or bills of
export; and

b)   the applicant has
furnished a valid return in FORM
GSTR-3
or FORM GSTR- 3B, as
the case may be;

(2)

The details of the relevant export invoices in respect of
export of goods
contained in FORM GSTR-1 shall be transmitted
electronically by the common portal to the system designated by the Customs
and the said system shall electronically transmit to the common portal, a
confirmation that the goods covered by the said invoices have been exported
out of India.

Provided that where the date for furnishing the details of
outward supplies in FORM GSTR-1 for a tax period has been extended in
exercise of the powers conferred under section 37 of the Act, the supplier
shall furnish the information relating to exports as specified in Table 6A of
FORM GSTR-1 after the return in FORM GSTR-3B has been furnished and the same
shall be transmitted electronically by the common portal to the system
designated by the Customs: Provided further that the information in Table 6A
furnished under the first proviso shall be auto-drafted in FORM GSTR-1 for
the said tax period.
[Notification No. 51/2017]

(3)

Upon the receipt of the information regarding the furnishing
of a valid return in FORM GSTR-3 or
FORM GSTR-3B
, as the case may be from the common portal, the system
designated by the Customs or the proper officer of Customs, as the case may
be, shall process the claim of refund in respect of export of goods
and an amount equal to the integrated tax paid in respect of
each shipping bill or bill of export shall be electronically credited to the
bank account of the applicant mentioned in his registration particulars and
as intimated to the Customs authorities.

(4)

The claim for refund shall be withheld where,-

a)  a request has been received from the jurisdictional
Commissioner of central tax, State tax or Union territory tax to withhold the
payment of refund due to the person claiming refund in accordance with the
provisions of sub-section (10) or sub-section (11) of section 54; or

b)  the proper officer of Customs determines that the goods were
exported in violation of the provisions of the Customs Act, 1962.

(5)

Where refund is withheld in accordance with the provisions of
clause (a) of sub-rule (4), the proper officer of integrated tax at the
Customs station shall intimate the applicant and the jurisdictional
Commissioner of central tax, State tax or Union territory tax, as the case
may be, and a copy of such intimation shall be transmitted to the common
portal.

(6)

Upon transmission of the intimation under sub-rule (5), the
proper officer of central tax or State tax or Union territory tax, as the
case may be, shall pass an order in Part B of FORM GST RFD-07.

(7)

Where the applicant becomes entitled to refund of the amount
withheld under clause (a) of sub-rule (4), the concerned jurisdictional
officer of central tax, State tax or Union territory tax, as the case may be,
shall proceed to refund the amount after passing an order in FORM GST RFD-06.

(8)

The Central Government may pay refund of the integrated tax to
the Government of Bhutan on the exports to Bhutan for such class of goods as
may be notified in this behalf and where such refund is paid to the
Government of Bhutan, the exporter shall not be paid any refund of the
integrated tax.

(9)

The application for refund of integrated tax paid on the
services exported out of India shall be filed in FORM GST RFD-01 and shall be dealt with in accordance with the
provisions of rule 89.

(10)

The
persons claiming refund of integrated tax paid on exports of goods or
services should not have –

(a)  received supplies on which the benefit of the Notification No. 48/2017, or Notification No. 40/2017 or Notification No. 41/2017

(b)   availed the benefit
under notification No. 78/2017-Customs, dated the 13-Oct-2017, published in
the Gazette of India, Extraordinary, Part II, Section 3 (i), vide number
G.S.R 1272(E), dated the 13-Oct-2017 or notification No. 79/2017-Customs,
dated the 13-Oct-2017, published in the Gazette of India, Extraordinary, Part
II, Section 3 (i), vide number G.S.R 1299 (E), dated the 13-Oct-2017 except
so far it relates to receipt of capital goods by such person against Export
Promotion Capital Goods Scheme.
[Notification no. 54/2018]

Note: Prior to 09-Oct-18, subject to conditions of Notification no. 53/2018.

96A.

Refund of integrated tax paid on export
of goods or services under bond or Letter of Undertaking

(1)

Any registered person availing the option to supply goods or
services for export without payment of integrated tax shall furnish, prior to
export, a bond or a Letter of Undertaking in FORM GST RFD-11 to the jurisdictional Commissioner, binding
himself to pay the tax due along with the interest specified under
sub-section (1) of section 50 within a period of —

a) 15 days after the expiry of three months, or such further
period as may be allowed by the Commissioner, from the date of issue of the
invoice for export, if the goods are not exported out of India; or

b) 15 days after the expiry of one year, or such further period
as may be allowed by the Commissioner, from the date of issue of the invoice
for export, if the payment of such services is not received by the exporter
in convertible foreign exchange.

(2)

The details of the export invoices contained in FORM GSTR-1 furnished on the common
portal shall be electronically transmitted to the system designated by
Customs and a confirmation that the goods covered by the said invoices have
been exported out of India shall be electronically transmitted to the common
portal from the said system.

Provided that where the date for furnishing the details of
outward supplies in FORM GSTR-1 for a tax period has been extended in
exercise of the powers conferred under section 37 of the Act, the supplier
shall furnish the information relating to exports as specified in Table 6A of
FORM GSTR-1 after the return in FORM GSTR-3B has been furnished and the same
shall be transmitted electronically by the common portal to the system
designated by the Customs:

Provided further that the information in Table 6A furnished
under the first proviso shall be auto-drafted in FORM GSTR-1 for the said tax
period.
[Notification No. 51/2017]

(3)

Where the goods are not exported within the time specified in
sub-rule (1) and the registered person fails to pay the amount mentioned in
the said sub-rule, the export as allowed under bond or Letter of Undertaking
shall be withdrawn forthwith and the said amount shall be recovered from the
registered person in accordance with the provisions of section 79.

(4)

The export as allowed under bond or Letter of Undertaking
withdrawn in terms of sub- rule (3) shall be restored immediately when the
registered person pays the amount due.

(5)

Registered person who intends to supply for export without
payment of integrated tax, for furnishing a Letter of Undertaking in place of
a Bond shall follow following conditions and safeguards as per
Notification No. 37/2017:

i.  all registered
persons who intend to supply goods or services for export without payment of
integrated tax shall be eligible to furnish a Letter of Undertaking in place
of a bond except those who have been prosecuted for any offence under the CGST,
2017 (12 of 2017) or the IGST, 2017 (13 of 2017) or any of the existing laws
in force in a case where the amount of tax evaded exceeds 250 lakh rupees;

ii. the Letter of Undertaking shall be furnished on the letter
head of the registered person, in duplicate, for a financial year in the
annexure to FORM GST RFD – 11
referred to in sub-rule (1) of rule 96A of the CGST Rules, 2017 and it shall
be executed by the working partner, the Managing Director or the Company
Secretary or the proprietor or by a person duly authorised by such working
partner or Board of Directors of such company or proprietor;

iii.
where the registered person fails to
pay the tax due along with interest, as specified under sub-rule (1) of rule
96A of CGST Rules, 2017, within the period mentioned in clause (a) or clause
(b) of the said sub-rule, the facility of export without payment of
integrated tax will be deemed to have been withdrawn and if the amount
mentioned in the said sub-rule is paid, the facility of export without
payment of integrated tax shall be restored.

(6)

The provisions of sub rule (1) and Notification No. 37/2017 shall apply, mutatis mutandis, in respect of zero-rated supply
of goods or services or both to a Special Economic Zone developer or a
Special Economic Zone unit without payment of integrated tax. Refer
Circular No.17/17/2017-GST.

97.

Consumer
Welfare Fund

(1)

All amounts of duty/central tax/ integrated tax /Union
territory tax/cess and income from investment along with other monies
specified in Section 12C(2) of Central Excise Act, 1944 (1 of 1944), section
57 of the CGST Act 2017 (12 of 2017) read with section 20 of IGST Act, 2017
(13 of 2017), section 21 of UTGST Act, 2017 (14 of 2017) and section 12 of GST
(Compensation to States) Act, 2017 (15 of 2017) shall be credited to the
Fund:

Provided that an amount equivalent to 50% of the amount of IGST
determined u/s 54(5) of CGST Act, 2017, read with section 20 of IGST Act,
2017, shall be deposited in the Fund.

Provided further that an amount equivalent to 50% of the
amount of cess determined u/s 54(5), read with section 11 of the Goods and
Services Tax (Compensation to States) Act, 2017, shall be deposited in the
Fund.
[Notification No.26/2018]

(2)

Where any amount, having been credited to the Fund, is ordered
or directed to be paid to any claimant by the proper officer, appellate
authority or court, the same shall be paid from the Fund.

(3)

Accounts of the Fund maintained by the Central Government
shall be subject to audit by the Comptroller and Auditor General of India.

(4)

The Government shall, by an order, constitute a Standing
Committee (hereinafter referred to as the “Committee‟) with a Chairman,
a Vice-Chairman, a Member Secretary and such other members as it may deem fit
and the Committee shall make recommendations for proper utilisation of the
money credited to the Fund for welfare of the consumers.

(5)

 (a) The Committee shall
meet as and when necessary, generally four times in a year;

(b) the Committee shall meet at such time and place as the
Chairman, or in his absence, the Vice-Chairman of the Committee may deem fit;

(c) the meeting of the Committee shall be presided over by the
Chairman, or in his absence, by the Vice-Chairman;

(d) the meeting of the Committee shall be called, after giving
at least ten days‟ notice in writing to every member;

(e) the notice of the meeting of the Committee shall specify
the place, date and hour of the meeting and shall contain statement of
business to be transacted thereat;

(f) no proceeding of the Committee shall be valid, unless it
is presided over by the Chairman or Vice-Chairman and attended by a minimum
of three other members.

(6)

The Committee shall have powers –

(a) to require any applicant to get registered with any
authority as the Central Government may specify;

(b) to require any applicant to produce before it, or before a
duly authorised officer of the Central Government or the State Government, as
the case may be, such books, accounts, documents, instruments, or commodities
in custody and control of the applicant, as may be necessary for proper
evaluation of the application;

(c) to require any applicant to allow entry and inspection of
any premises, from which activities claimed to be for the welfare of
consumers are stated to be carried on, to a duly authorised officer of the
Central Government or the State Government, as the case may be;

(d) to get the accounts of the applicants audited, for
ensuring proper utilisation of the grant;

(e) to require any applicant, in case of any default, or
suppression of material information on his part, to refund in lump-sum along
with accrued interest, the sanctioned grant to the Committee, and to be
subject to prosecution under the Act;

(f) to recover any sum due from any applicant in accordance
with the provisions of the Act;

(g) to require any applicant, or class of applicants to submit
a periodical report, indicating proper utilisation of the grant;

 (h) to reject an
application placed before it on account of factual inconsistency, or
inaccuracy in material particulars;

(i) to recommend minimum financial assistance, by way of grant
to an applicant, having regard to his financial status, and importance and
utility of the nature of activity under pursuit, after ensuring that the
financial assistance provided shall not be mis-utilised;

(j) to identify beneficial and safe sectors, where investments
out of Fund may be made, and make recommendations, accordingly;

(k) to relax the conditions required for the period of
engagement in consumer welfare activities of an applicant;

(l) to make guidelines for the management, and administration
of the Fund.

(7)

The Committee shall not consider an application, unless it has
been inquired into, in material details and recommended for consideration
accordingly, by the Member Secretary.

(8)

The Committee shall make recommendations:-

(a) for making available grants to any applicant;

(b) for investment of the money available in the Fund;

(c) for making available grants (on selective basis) for
reimbursing legal expenses incurred by a complainant, or class of
complainants in a consumer dispute, after its final adjudication;

 (d) for making
available grants for any other purpose recommended by the Central Consumer
Protection Council (as may be considered appropriate by the Committee);

(e) for making available up to 50% of the funds credited to
the Fund each year, for publicity/ consumer awareness on GST, provided the
availability of funds for consumer welfare activities of the Department of
Consumer Affairs is not less than twenty five crore rupees per annum.

Explanation.- For the purposes of this rule,

(a) ‘Act’ means the Central Goods and
Services Tax Act, 2017 (12 of 2017), or the Central Excise Act, 1944 (1 of
1944) as the case may be;

(b) ‘Applicant’ means,

(i)          
the
Central Government or State Government;

(ii)        
regulatory
authorities or autonomous bodies constituted under an Act of Parliament or
the Legislature of a State or Union Territory;

(iii)       any agency or organization engaged in consumer welfare
activities for a minimum period of three years, registered under the
Companies Act, 2013 (18 of 2013) or under any other law for the time being in
force;

(iv)       village or mandal or samiti or samiti level co-operatives of
consumers especially Women, Scheduled Castes and Scheduled Tribes;

(v)        
an
educational or research institution incorporated by an Act of Parliament or
the Legislature of a State or Union Territory in India or other educational
institutions established by an Act of Parliament or declared to be deemed as
a University u/s 3 of the University Grants Commission Act, 1956 (3 of 1956)
and which has consumers studies as part of its curriculum for a minimum
period of three years; and

(vi)      
a
complainant as defined u/s 2(1)(b) of Consumer Protection Act, 1986 (68 of
1986), who applies for reimbursement of legal expenses incurred by him in a
case instituted by him in a consumer dispute redressal agency.

(d) ‘Central Consumer Protection
Council’ means the Central Consumer Protection Council, established u/s 4(1)
of Consumer Protection Act, 1986 (68 of 1986), for promotion and protection
of rights of consumers;

(e) ‘Committee’ means the Committee constituted
under sub-rule (4);

(f) ‘Consumer’ has the same meaning as
assigned to it in Sec. 2(1)(d) of Consumer Protection Act, 1986 (68 of 1986),
and includes consumer of goods on which central tax has been paid;

(g) ‘Duty’  means the duty paid under the Central Excise
Act, 1944 (1 of 1944) or the Customs Act, 1962 (52 of 1962);

(h) ‘Fund’ means the Consumer Welfare
Fund established by the Central Govt. u/s 12C(1) of Central Excise Act, 1944
(1 of 1944) and u/s 57 of CGST Act, 2017 (12 of 2017);

(i) ‘Proper officer’ means the officer
having the power under the Act to make an order that the whole or any part of
the central tax is refundable.

97A.

 Manual
filing and processing

 

Notwithstanding anything contained in this Chapter, in respect
of any process or procedure prescribed herein, any reference to electronic
filing of an application, intimation, reply, declaration, statement or
electronic issuance of a notice, order or certificate on the common portal
shall, in respect of that process
or procedure, include manual filing of the said application, intimation,
reply, declaration, statement or issuance of the said notice, order or
certificate in such Forms as appended to these rules.

As
per
Circular No.17/17/2017-GST, to claim Refund of IGST paid on export of services / zero
rated supplies to SEZ units or SEZ developers, printout of FORM GST RFD 01A
needs to be filed manually with the jurisdictional GST officer (only at one
place – Centre or State) along with relevant documentary evidences, wherever
applicable.

Reference:

[Notification No. 3/2018].

[Notification No. 21/2018]