2020 (5) TMI 611

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.....4.2018 being the unutilized cenvat credit on services consumed in the export of services during the period from April 2017 to June 2017. A show cause notice dt. 30.08.2018 was issued to the appellant proposing to reject the claim for the reasons that on perusal of ST-3 returns for the relevant period, the appellant has not debited the amount claimed as refund in their cenvat credit account; Secondly that they have carried forward the balance cenvat account to TRAN-1 GST Regime as on 30.6.2017; that in terms of Section 142 (4) of CGST Act,2017, the refund claim is not admissible. After due process of law, the original authority rejected the refund claim against which an appeal was filed before the Commissioner (Appeals). Vide the impugned o....

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....he appellant to file ST-3 returns. Since it was not possible for the appellant to file ST-3 returns showing the debit of the refund amount, they carried forward the refund amount o the GST TRAN-1 and thereafter filed refund claim. The department does not have a case that the appellant is not eligible for the credit. However the same is only rejected by technical reasons stating that appellant has carried forward the credit and therefore not eligible for refund. It is also submitted that they debited the amount claimed as refund in the input ledger in June 2018 reflecting the same in the GST TRAN-3. Therefore the credit amount of which refund is claimed gets nullified. He relied upon the Tribunal decisions in the case of Global Analytical In....

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....it has been carried forward to TRAN-1 GST. It is brought out from the facts that though the credit was availed prior to introduction of GST the refund claim was filed by them only on 22.03.2018. The requirement to debit the refund amount as under para 2 (h) of the notification can be applied only when the assessee is required to file ST-3 returns. After introduction of GST, it is not possible for the assessee to file ST-3 returns. It is not required for the appellant to deduct the amount in the ST-3 returns as and when credit is availed. Only if they intend to file refund claim they are required to debit the same. Therefore the contention of Ld. A.R that assessee ought to have debited the amount during the existence of Finance Act, 1994 its....