Refund of cess in case of exports on payment of IGST

[haribabu koduri]

Can refund of accumulated cess be claimed/allowed, in case of exports on payment of IGST, where the product is not liable for cess. For ex., Input us liable for cess. Output is not liable for cess. Cess got accumulated. Exports are made on payment of IGST. Refund of IGST is claimed from customs. Can refund claim be filed for refund of accumulated cess, in proportion to exports?

AI Summary

Debate on Refunds of Accumulated Cess for IGST-Paid Exports: Should Policy Change to Align with No Export Taxes Principle? A discussion on a forum addresses whether accumulated cess can be refunded in cases where exports are made on payment of IGST, and the exported product is not liable for cess. Participants argue that cess should not be exported and refunds should be allowed, but current regulations and departmental opinions restrict refunds to exports under LUT. Some suggest challenging these restrictions, citing inconsistencies with the principle of not exporting taxes. Circulars and press releases are debated for their legal weight, with some members advocating for policy changes to allow refunds proportionate to exports.