Refund of Advance, Goods and Services Tax - GST

[Ashiesh Prremji]

Dear Sir,

As per Circular No. 137/07/2020 dated 13 April 20, it is clarified that we need to go for Refund through Form RFD-01 in case of refund of Advances on which we paid GST & subsequently its cancelled before issuing Invoice. GST has been paid on gross value of advance (Ex - Adv Received 1000, GST 180), will there any issue in refund process ?

Posts / Replies

[PAWAN KUMAR]

As per my view answer to question no. 2 of GST Circular no. 137 is fit for this case. Refund should be filed as excess payment of tax in GST RFD-01.

[CAVenkataprasad Pasupuleti]

There wont be any issue. The GST paid by you over and above the advance is eligible for the refund. You shall prove that amount received from customer is returned.

[YAGAY andSUN]

Such payments of GST on Advances to Government are refundable when the amount paid received as advance, paid back to the Customer.

[KASTURI SETHI]

I support the views of all experts.