2023 (9) TMI 394 - HC - GST

Maintainability of petition - availability of alternative remedy - Refund of Input Tax Credit (ITC) - zero-rated supplies - input supplies for exporting rice and sugar - HELD THAT - The petitioner had produced the relevant material to establish that input supplies in respect of which ITC was claimed were in respect of export of sugar. Neither the Order-in-Original dated 27.10.2022 passed by the Adjudicating Authority nor the impugned order passed by the Appellate Authority discusses the aforesaid invoices and the material produced by the petitioner. None of the said orders indicate any reason as to why the authorities have not considered the said material to be relevant for establishing that the input supplies in respect of which refund was claimed, were directly corelated to export of sugar. The petitioner s appeal before the learned Appellate Authority for reconsideration on merits restored - impugned order set aside - petition disposed off.

Summary

Issues involved:
The petitioner's appeal against the rejection of refund of Input Tax Credit (ITC) for export of agricultural commodities.

Summary:

Issue 1: Refund of ITC for export of agricultural commodities
The petitioner, engaged in export of rice and sugar, claimed refund of ITC for zero-rated supplies. Adjudicating Authority rejected the refund application citing inability to correlate input supplies with export of commodities. Appellate Authority upheld the rejection, stating lack of distinction between inputs for rice and sugar exports. Petitioner contended that necessary documents proved direct correlation of inputs with export of sugar. High Court set aside the impugned order, directing reconsideration by Appellate Authority based on the material provided by the petitioner.

Key Points:
- Petitioner's claim for refund of ITC for export of sugar and rice.
- Adjudicating Authority's rejection of refund application due to lack of correlation between input supplies and commodity export.
- Appellate Authority's affirmation of rejection based on absence of distinction between inputs for rice and sugar exports.
- Petitioner's submission of tabular statement and invoices to establish direct correlation of inputs with export of sugar.
- High Court's decision to set aside impugned order and remand the case for reconsideration by Appellate Authority based on material provided by the petitioner.