9911796707
TMI Blog2024 (11) TMI 785X X X X Extracts X X X X X X X X Extracts X X X X ..... ts' portal - HELD THAT:- Section 56 of the CGST Act provides for the period for which the interest is to be granted, and the said period starts from the date of receipt of an application for refund till the date of refund of such tax. In the instant case, the shipping bill is considered as an application for refund and, therefore, the period for grant of interest would begin on expiry of 60 days from the date of the shipping bill and would continue till the date of refund of such tax. In the absence of any provision in Section 56 to exclude the contingency with which we are faced, the denial of interest by the Respondents cannot be justified. If the submissions of the Respondents is accepted, then the same would amount to rewriting the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t 2020 after constant follow-up with Respondents. The Petitioner contends that the delay in the grant of refund is not attributable to her. On enquiry with the Respondents, the Petitioner was informed that the Petitioner s name was flagged on the risky exporters list and, therefore, there was a delay on the part of the Respondents in granting the refund. The said red flag was removed on receipt of NOC from the Risk Management Centre for Customs on 3 August 2020, and thereafter, the refund was granted. 5. It is the case of the Petitioner that they were never informed about her name being red-flagged on the portal of Respondents, and it is only through enquiry from Respondents that she was informed about the same. In any case, the Petitioner ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... section (5) of sectin 54 to any applicant is not refunded within sixty days from the date of receipt of application under sub-section (1) of that section, interest at such rate not exceeding six per cent as may be specified in the notification issued by the Government on the recommendations of the Council 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 the said sub-section till the date of refund of such tax: Provided that where any claim of refund arises from an order passed by an adjudicating authority or Appellate Authority or Appellate Tribunal or court which has attained finality and the same is not refunded within sixty days from the date ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tice of the jurisdictional Principal Chief Commissioner. After that, the jurisdictional Chief Commissioner / Chief Commissioner of Central Tax should take appropriate action to complete the verification within seven working days. If the exporter does not get the refund within one month, then the exporter may register his grievance on the Respondents' portal, giving all the details. 12. In our view, the objective of Circular No.16 of 2019 and Circular No. 131/1/2020 is to ensure that the investigation in case of a suspicious refund claim is completed within the time frame provided therein so that the exporters can get the refund within the time specified. It is also important to note that the refund plays a very important role in the wor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... interest on delayed refunds does not provide for excluding the period during which the Respondents are investigating the grant of refund. In any case, Respondents have not complied with the time frame specified in the Circulars referred to hereinabove. Therefore, even on this count, we do not find any justification for the Respondents to deny the interest on the delayed refund. Admittedly, the Petitioner has paid the amount of IGST, which the Respondents have utilised up to the date of grant of refund. Having used the money of the Petitioner, we do not see any justification for denying interest more so when the delay as observed by us above is not attributable to the Petitioner, but the same is attributable to the Respondents, which too is ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
