2025 (12) TMI 1600

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....1th October, 2023, the petitioner's request for refund of a sum of Rs.8,94,583/- had been rejected by the adjudicating authority. 3. Mr. Mazumder, learned advocate appearing for the petitioner has brought to the notice of this Court an order dated May 30, 2024 passed by the appellate authority in the petitioner's own case where request for refund has been allowed by the appellate authority in a similar situation, by holding as follows: "5. The appellant is a manufacturer of e-rickshaw, known as TOTO in common parlance. After verification of business activities of the petitioner, it has been ascertained that there is no way he can make outward supply of loudspeakers other than installing the device on e-rickshaws manufactured by ....

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....aw (HSN-87031090) or not and subsequently whether ITC involved in purchase of "stereo system" would be eligible for refund vide clause (ii) of first proviso to sub-section (3) of Section 54 of the both WB GST Act, 2017 and CGST Act, 2017( in short GST Act, 2017) or not. (under inverted duty structure) 2. There have been divergent opinions. In the instant case WPA 1808 of 2025 - the adjudicating authority has disallowed the RTP's claim of "stereo system" is an input/ raw material in manufacturing of e-rickshaw and the decision of adjudicating authority has been upheld by the appellate authority and that is under challenge in this Writ petition before the Hon'ble High Court. However, when the same issue was raised by the same....

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....sses any trade, commerce manufacture, profession, vocation, adventure, wager, or any other similar activity. Crucially, the definition extends to activities that are connected, incidental, or ancillary to the primary business functions. 9. As per clause (ii) of first proviso to sub-section (3) of Section 54 of GST Act, 2017, refund of unutilised ITC shall be allowed "where the credit has accumulated on account of rate of tax on inputs being higher than the rate of tax on output supplies". From the condition given in the statute, no-where it has been prescribed that the inputs must be used in manufacturing of goods. Rather by the very definition of "input", it is clear that if an input used or intended to be used by a supplier in th....