Refund of Excess Tax Paid

[Sangeetha D]

This person Received DRC - 07 Order on 25/02/2022 for Excess ITC Claimed for the tax period 2017-18. under Notices and Orders Coloum.

Subsequently the client paid the above demand through voluntary payment on 21/03/2023.

(Note. The above DRC-07 and voluntary payment made were not linked. So it shows outstanding even though the payment made through voluntary)

Again another DRC-07 issued on the same defect (Excess ITC for period 2017-18) on 31/12/2023.

Due to the Outstanding of the above 2 DRC-07, the bank account got freezed. The person paid the tax (only Tax amount, not Interest an Penalty) amount against the above 2 DRC-07 once again to unfreeze the bank account on 18/10/2024.

Now only we came to know that for 1 Defect, we have paid Thrice.

We check with the GST Department for Refund of excess tax paid. but they said the tax period should be with in 2years. Is there is any way to get Refund.

AI Summary

Relevant date for refund: refund claims must be filed within two years from the date of payment, refundable to credit ledger.
Under Section 54 the limitation to claim refund runs from the relevant date; where no other category applies, the relevant date is the date of payment of tax. Each excess payment therefore creates its own two year period for filing a refund application. Refunds may be credited to the electronic credit ledger and the method of payment (including use of ITC) does not preclude refund entitlement.