GST on refund Voucher - ITC

[Ethirajan Parthasarathy]

A business entity refunds the advance received along with GST being advance received but service rendered partially. Is such GST refunded to the party eligible for refund from the Department.

[Himansu Sekhar]

Please bring more clarity on the question

[KASTURI SETHI]

Yes, eligible provided that the person has documentary evidence to the effect that partial service could not be supplied and amount GST paid to the person from whom tax was collected. Thus the person has paid in excess.

[Ganeshan Kalyani]

Alternate option is to claim it by adjusting it against future GST liability.

AI Summary

GST refund on advances: eligibility depends on proof of non supply or adjustment against future GST liability.
Refund of GST on advances is available when documentary evidence shows partial service could not be supplied and the tax collected has been returned to the person from whom it was collected; alternatively, the tax may be adjusted against future GST liability as input tax credit, subject to compliance.