2019 (5) TMI 1650 - HC - GST

Refund claim - Delhi GST Act - HELD THAT - The learned CGSC of UOI also assures the Court that wherever an order has been passed for refund of the Central component of the tax, the refund amount will stand credited to each of the concerned Petitioners, positively before the next date - Learned counsel for the Petitioners are permitted to file affidavits before the next date explaining their claims for interest in terms of the DGST/CGST Act and in the facts and circumstances of these cases. List on 8th July, 2019.

Summary

Issues: Review of refund procedure, disbandment of Refund Approval Committee (RAC), delay in proceedings, processing of refund claims, crediting refund amounts, interest claims under DGST/CGST Act.

Review of Refund Procedure and Disbandment of RAC:
The High Court ordered the presence of key officials following a previous order. The Commissioner (VAT) and members of the Refund Approval Committee (RAC) were present. The Commissioner proposed to disband the RAC and appoint a proper officer to handle refunds above a certain value as per the Delhi GST Act. He committed to submitting an affidavit outlining the steps taken. The Court was informed that the RAC deferred proceedings due to lack of awareness about the Court's order. An explanation was sought from the concerned officer, and further actions were to be reported later.

Delay in Proceedings and Processing of Refund Claims:
The Court was informed that refund orders had been issued for the petitioners, but the actual amounts were not credited to their accounts. Additionally, in some cases, only the State refund component was released, not the Central component. The authorities assured to address these issues, with the Central component refunds to be credited before the next hearing date. Petitioners were allowed to file affidavits explaining their interest claims under the DGST/CGST Act, to be submitted at least a week before the next hearing for the respondents to respond.

Crediting Refund Amounts and Interest Claims:
The authorities assured that the refund amounts, especially the Central component, would be credited to the petitioners before the next hearing. Petitioners were granted permission to file affidavits detailing their interest claims under the DGST/CGST Act, with a deadline set for submission. The officials present were excused from appearing on the next hearing date, scheduled for 8th July 2019.