TaxTMI 
TaxTMI 
A company received a notice in November 2024 under Section 73(1) for an erroneous refund issued for the period January to March 2020. Can the department consider the refund period as part of FY 2019-20 and apply the extended time limit of November 30, 2024, even though the original deadline (of 3 years from the refund received date) is already elapsed? Can the validity of the notice be questioned?
GST NOTICE VALIDITY- ERRONEOUS REFUND
07 Dec 2024 
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Limitation tolling may validate erroneous refund recovery notices; confirmation under Section 74 requires a corrigendum or risks being time-barred.
A notice for recovery of an erroneous refund must be measured by the three year limitation from the refund order date (19 June 2020); the pandemic tolling period may extend that limitation and thus impacts the notice's validity. If the department attempts to confirm recovery under a different recovery provision after limitation has expired, such confirmation requires a corrigendum, otherwise the demand may be time barred. (AI Summary)
A notice for recovery of an erroneous refund must be measured by the three year limitation from the refund order date (19 June 2020); the pandemic tolling period may extend that limitation and thus impacts the notice's validity. If the department attempts to confirm recovery under a different recovery provision after limitation has expired, such confirmation requires a corrigendum, otherwise the demand may be time barred. (AI Summary)