Clarification on refund related issues

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....d to sub-section (3) of section 54 of the GGST Act, 2017, which provides for the refund of unutilized input tax credit in cases where credit is accumulated on account of rate of tax of inputs being higher than the rate of tax on output supplies, i. e., on account of inverted duty structure. Sub-rule (5) of rule 89 of the GGST Rules, 2017 prescribes the formula for grant of refund in cases of inver....

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....mations, the Chief Commissioner of State tax, in exercise of its powers conferred by section 168 of the Gujarat Goods and Services Tax Act, 2017 (hereinafter referred to as "GGST Act"), hereby clarifies the issues as under : Sl. No. Issue Clarification 1. Whether the formula prescribed under sub-rule (5) of rule 89 of the GGST Rules, 2017 for calculation of refund of unutilised inpu....

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.... tax credit on account of inverted duty structure would be applicable in respect of refund applications filed on or after July 5, 2022. The refund applications filed before July 5, 2022 will be dealt as per the formula as it existed before the amendment made vide Notification No. 14/2022-State Tax, dated July 16, 2022. 2. Whether the restriction placed on refund of unutilised input tax credi....

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....be allowed, where the credit has accumulated on account of rate of tax on inputs being higher than the rate of tax on the output supplies of such specified goods (other than nil rated or fully exempt supplies). The said notification has come into force with effect from July 18, 2022. The restriction imposed vide Notification No. 9/2022-State Tax (Rate) dated July 16, 2022 on refund of unutilise....