Refund of IGST paid on export of. goods under Rule 96 of CGST Rules, 2017 - Customs - PUBLIC NOTICE No. 29/2017

GOVERNMENT OF INDIA MINISTRY OF FINANCE, DEPARTMENT OF REVENUE OFFICE OF THE PRINCIPAL COMMISSIONER OF CUSTOMS COMMISSIONERATE VII (AIR CARGO), AIR CARGO COMPLEX, MEENAMBAKKAM, CHENNAI - 600 027. F.No.S.Misc.09/75/2017-Exp. (Air) Dated: 01.12.2017 PUBLIC NOTICE No. 29/2017 Sub: Refund of IGST paid on export of. goods under Rule 96 of CGST Rules, 2017 -Reg. Kind attention of Exporters, -Member of Trader Custom Brokers, Industry Associations and other Stake holder: is invited regarding IGST refund. Exporters have been complaining about delay in grant of refunds pertaining to Integrated Goods and Services Tax (IGST) paid on goods exported out of India and similarly Input Tax credit (ITC) on exports. There are media reports with exaggerated estimations of refund amounts which are held up for the period July to October 2017. It is clarified that the quantum of IGST refund claims as filed through shipping bills during the period July to October 2017, all over India is approximately ₹ 6500 Crores and the quantum of refund of unutilized credit on inputs or input services, las per the RFD 01A applications filed on GSTN portal, is to the tune of ₹ 30 Crores. Refund of IGST: Refund claims of IGST paid for exports made in August, September and October 2017 are being sanctioned seamlessly wherever returns have been accurately filed. The prerequisites for sanction of refund of IGST paid are filing of GSTR 3B and table 6A of GSTR 1 on the GSTN portal and Shipping Bill on Customs EDI system by the exporter. It is essential that exporters should' ensure that there is no .discrepancy in the information Furnished in Table 6A of GSTR 1 and the Shipping Bill It has been observed that certain common errors such as incorrect Shipping Bill number in GSTR1 mis-match of invoice number and IGST amount paid, wrong bank account etc. are being committed by exporters while filing their returns. These errors are the sole reason for delay in grant of refunds, or rejection thereof. While information has been made available to Exporters on the ICEGATE portal if they are registered, they may also contact jurisdictional Customs authorities to, check the errors they have committed in furnishing information in GST returns and Shipping Bill, and rectify them at the earliest. As the Customs system is designed to automatically grant refunds\ without involvement of any officer by matching information that is furnished on GSTN portal and Customs system, the onus is on the exporters to fill in all the details accurately. Exporters may therefore take due precaution to ensure that no errors creep in while filing able 6A of GSTR 1 of August 2017 and onwards. The facility for filing CSTR 1 for August 2017 would also be ready by 4th December 2017. In case of wrong entries made in July, Table 9 of GSTR 1 of August month would allow amendments to GSTR 1 of July 2017. Refund of Input Tax Credit: As far as refund of the unutilized input tax credit on inputs or input services used in making: exports is concerned, exporters shall file an application in FORM GST RFD- 01A on the common portal where the amount claimed as refund Shall get debited from the electronic credit ledger of the exporter to the extent of the claim. Thereafter, a- proof of debit (ARN- Acknowledgement Receipt Number; shall be generated on the GSTN portal, which is to be mentioned on the print out of the FORM GST RFD-01A and to be submitted manually to the jurisdictional officer. The exporters may ensure that all the necessary documentary evidences are submitted along with the From GST RFD-01A for timely sanction of refund. Exporters are therefore advised to immediately file (a) Table 6A and GSTR 3B, if not already done, for processing of IGST refund (b) RFD 01A on GSTN portal for refund of the unutilized input tax credit on inputs or input services used in making exports and (c) GSTR 1 for August 2017 for amending details provided in July GSTR1 wherever required. Government has taken various measures to alleviate the difficulty and is committed to providing speedy disbursal. In Chennai VII, ACC Commissionerate FIEO, E.E.P.C., Council of Leather exporters, Apparel Export Promotion Council, CAPAXCIL, etc. are requested to coordinate .with exporters were IGST Refunds are pending to comply with the above requirements. The list of such Exporters (IEC code wise) up to October 2017 are already placed on this Commissionerate website-and sent through mail. Difficulties, if any may please be brought to the notice of the undersigned. (K.RAGHU N. CHARY) PRINCIPAL COMMISSIONER OF CUSTOMS CHENNAI-VII COMMISSIONERATE