Refund of wrongly paid GST amount

[NARENDER YARRAGORLA]

Now we are filing GSTR-9 and observed that we have disclosed and discharged excess tax amount by mistake through GSTR-1 and 3B, can we calm the excess amount as refund u/s 54?

We have claimed excess ITC, the excess paid outward tax can be adjusted against the excess claimed ITC?

[SOWMYA CA]

Narender,

In my view once you have filed annual return, there is no option to revise it. You cannot claim refund of tax already paid. Once you case is taken up for scrutiny, you can submit these as response to the letter from department and seek redressal.

[NARENDER YARRAGORLA]

Thank you madam for your reply. I have not yet filed GSTR-9 for the FY 2020-21

[KASTURI SETHI]

Dear Querist,

Answer to fist question is YES. Section 54 (8)(e) of CGST Act refers. You can apply for refund within two years from the relevant date i.e. the date of excess payment.

Answer to second question is NO.

[Shilpi Jain]

Agree with Kasturi sir. Also for the excess availed ITC, if the same is also utilised you would have to reverse it along with interestt

AI Summary

Refund of wrongly paid GST: application possible under Section 54, but excess ITC must be reversed if utilised. Refund of wrongly paid GST may be claimed under the statutory refund mechanism (Section 54) within the prescribed limitation period from the relevant date of excess payment; however, filing an annual return may limit revision options and practical redress through departmental scrutiny. Excess outward tax cannot simply be adjusted against excess input tax credit; any excess ITC that has been utilised must be reversed and interest paid.