9911796707
TMI Blog2022 (4) TMI 55X X X X Extracts X X X X X X X X Extracts X X X X ..... nt writ-application. Statutory interest to be paid on the delayed refund amount - Section 56 of the CGST Act, 2017 - HELD THAT:- The plain reading of Section 56 of the Act would indicate that if any tax, which is ordered to be refunded under Sub-section (5) of Section 54 to any applicant, is not refunded within sixty days from the date of receipt of the application under Sub-section (1) of that section, interest at the rate not exceeding 6% [six percent] shall be payable in respect of such refund from the date immediately after the expiry of sixty days from the date of receipt of application under Sub-section (5) of Section 54 of the Act. The writ-applicant herein is entitled to interest on the delayed payment towards refund at the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... may kindly be granted; (D) Such further relief(s) as deemed fit in the facts and circumstances of the case may kindly be granted in the interest of justice for which act of kindness your petitioner shall forever pray. 3. The facts giving rise to this litigation may be summarized as under:- 3.1 The writ-applicant is a Limited Liability Partnership having place of business at Ahmedabad. The writ-applicant is engaged in the export of Fly Ash. It received a purchase order from one M/s. Buildex Trading and Contracting WLL located at Doha, Qatar for the purchase of Fly Ash. 3.2 Pursuant to such export order, the writ-applicant purchased the goods from one M/s. Ashtech (India) Pvt. Ltd. M/s. Ashtech (India) Pvt. Ltd.is based in M ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ory explanation to the authorities concerned pointing out that the Circular dated 17.06.2019, upon which, the Department was placing reliance, was not applicable having regard to the facts of the case. 6. Ultimately, the refund amount was credited in the account of the writ-applicant on 17.01.2022 i.e. during the pendency of the present writ-application. 7. Thus, the main grievance as regards non-sanctioning of the amount towards refund has been taken care. The only issue now remains as regards the statutory interest to be paid on the delayed refund amount. This statutory interest is in accordance with Section-56 of the CGST Act, 2017. Section-56 reads thus:- Section-56 Interest on delayed refunds. If any tax ordered to b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 8. We have heard Mr. Uchit Sheth, the learned counsel appearing for the writ-applicant and Mr. Dhaval Vyas, the learned senior standing counsel appearing for the respondent no.1. 9. The plain reading of Section-56 of the Act would indicate that if any tax, which is ordered to be refunded under Sub-section (5) of Section-54 to any applicant, is not refunded within sixty days from the date of receipt of the application under Sub-section (1) of that section, interest at the rate not exceeding 6% [six percent] shall be payable in respect of such refund from the date immediately after the expiry of sixty days from the date of receipt of application under Sub-section (5) of Section-54 of the Act. 10. While opposing this writ-applicatio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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