2023 (8) TMI 694 - HC - GST

Rejection of refund claim of excess tax paid - petitioner applied for refund of excess tax after having made good the short payment of tax through the annual returns - HELD THAT - By the impugned order, as is evident from the text of the order itself the order rejecting the claim for refund under Section 54(5) of the CGST Act, 2017 is without any reasons. Considering the various orders passed by this Court in the case of the petitioner itself, the petitioner is directed to make a fresh application for refund in terms of Circular No. 125/44/2019-GST dated 18.11.2019 issued by the Government of India, Ministry of Finance, Department of Revenue, Central Board of Indirect Taxes and Customs, GST Policy Wing, within a period of three weeks from today. On such application being made, the authorities shall dispose of the same on merits in accordance with law as early as possible, preferably within a period of four weeks thereafter. The impugned order dated 27.2.2020 is hereby quashed and set aside. The petition stands allowed.

Summary

Issues:
The legality and validity of the order rejecting the claim for refund under Section 54(5) of the CGST Act, 2017 without providing reasons.

Summary:
The petitioner, engaged in providing telecommunication services, was merged with another company and migrated to the GST regime. Excess tax payments were made in Gujarat, and refund applications were filed. The impugned order rejecting the refund claim lacked reasons. The petitioner relied on orders from other High Courts supporting the refund claim. The respondent argued for the petitioner to file an appeal under Section 107 of the CGST Act. The Court directed the petitioner to make a fresh refund application within three weeks, following a specific circular. The authorities were instructed to dispose of the application promptly. Consequently, the impugned order was quashed, and the petition was allowed.

Separate Judgement:
No separate judgment was delivered by the judges.