GST REFUND

[MAYUR BHADANI]

Deficiency memo issued for not attaching SELF- DECLARATION under rule 89(2)(l).

Is it necessary for refund of tax paid on input services used in making zero rated supplies for exports ?

[Ravinesh Sinha]

The declaration under rule 89(2)l is not required if refund claimed is under clause (b) of sub-section (8) of section 54 of the Act

If refund claim is of Unulilized ITC under sub section (3) of section 54 ,no such declaration is required.pl see the format attached to RFD -01

[MAYUR BHADANI]

Thank You Ravineshji for your reply..

[Amit Agrawal]

Rule 89 (2) (l) of the CGST Rules, 2017 states as follows:

"a declaration to the effect that the incidence of tax, interest or any other amount claimed as refund has not been passed on to any other person, in a case where the amount of refund claimed does not exceed two lakh rupees:

Provided that a declaration is not required to be furnished in respect of the cases covered under clause (a) or clause (b) or clause (c) or clause (d) or clause (f) of sub-section (8) of section 54;"

Clause (b) of sub-section (8) of section 54 reads as follows:- refund of unutilised input tax credit under sub-section (3)

And said sub-section (3) deals with refund of any unutilised input tax credit due to zero rated supplies made without payment of tax;

These are ex facie views of mine and the same should not be construed as professional advice / suggestion.

[MAYUR BHADANI]

Thank you Amit Agrawal Sir,

I know your are always guiding thousands of professionals. You have vast knowledge and sharing it everyone who is in need.

[Amit Agrawal]

Dear Shri Mayur Bhadani Ji,

It is my pleasure and you are welcome!

[PAWAN KUMAR]

Declaration not required to be attached since it is unutilized itc refund claim and covered under section 54(8)(a).

AI Summary

No Self-Declaration Needed for GST Refunds on Unutilized ITC Under Rule 89(2)(l) for Zero-Rated Exports A forum discussion addressed whether a self-declaration under rule 89(2)(l) is necessary for GST refunds on input services used for zero-rated export supplies. One participant clarified that such a declaration is not required if the refund is claimed under clause (b) of sub-section (8) of section 54, which pertains to unutilized input tax credit (ITC). Another participant confirmed this, explaining that the rule exempts certain cases from requiring the declaration. The discussion concluded that for unutilized ITC refunds, attaching the declaration is unnecessary.