TaxTMI 
TaxTMI 
Clarification on refund related issues
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....mplementation of the provisions of law in this regard across the field formations, the Commissioner, in exercise of powers conferred by section 168 of the Tamil Nadu Goods and Services Tax Act, 2017 (hereinafter referred to as "TNGST Act"), hereby clarifies the issues detailed hereunder: 1. Refund of accumulated input tax credit under Section 54(3) on the basis of that available as per FORM GSTR 2B: - 1.1 In terms of Para 5 of Circular No. 9/2020-TNGST dated 20.06.2020, refund of accumulated input tax credit (ITC) is restricted to the input tax credit as per those invoices, the details of which are uploaded by the supplier in FORM GSTR-1 and are reflected in the FORM GSTR-2A of the applicant. Para 5 of the said circular is reproduced below: "5. Guidelines for refunds of Input Tax Credit under Section 54(3): 5.1 In terms of para 36 of circular No. 1(2019)/2020-TNGST dated 23.03.2020, the refund of ITC availed in respect of invoices not reflected in FORM GSTR-2A was also admissible and copies of such invoices were required to be uploaded. However, in wake of insertion of sub-rule (4) to rule 36 of the TNGST Rules, 2017 vide G.O. (Ms) No. 163, CT & Regn (B1) De....
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....020-TNGST dated 23.03.2020, which was earlier modified vide Para 5 of Circular No. 9/2020-TNGST dated 20.06.2020, stands modified to this extent. Consequently, Circular No. 10/2020 TNGST dated 20.06.2020, which provides for restriction on refund of accumulated input tax credit on those invoices, the details of which are uploaded by the supplier in FORM GSTR-1 and are reflected in the FORM GSTR-2A of the applicant, also stands modified accordingly. 1.4 It is further clarified that as the said amendments in section 16(2) (aa) of TNGST Act and Rule 36(4) of TNGST Rules have been brought into effect from 01.01.2022, therefore, the said restriction on availability of refund of accumulated input tax credit for a tax period on the basis of the credit available as per FORM GSTR-2B for the said tax period or for any of the previous tax periods, shall be applicable for the refund claims for the tax period of January 2022 onwards. However, in cases where refund claims for a tax period from January 2022 onwards has already been disposed of by the proper officer before the issuance of this circular, in accordance with the extant guidelines in force, the same shall not be reopened because of ....
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....efund must give an undertaking to the effect that the amount of refund sanctioned would be paid back to the Government with interest in case it is found subsequently that the requirements of clause (c) of sub- section (2) of section 16 of the TNGST Act have not been complied with in respect of the amount refunded. This undertaking should be submitted electronically along with the refund claim." Undertaking in FORM GST RFD 01 :- "I hereby undertake to pay back to the Government the amount of refund sanctioned along with interest in case it is found subsequently that the requirements of clause (c) of subsection (2) of section 16 of the CGST/ SGST Act have not been complied with in respect of the amount refunded." 2.4. Consequentially, Annexure-A to the Circular No. 1(2019)/2020- TNGST dated 23.03.2020, also stands amended to the following extent: i. "Undertaking in relation to sections 16(2)(c) and section 42(2)" wherever mentioned in the column "Declaration / Statement / Undertaking / Certificates to be filled online" may be read as "Undertaking in relation to sections 16(2)(c)". ii. "Copy of GSTR-2A of the relevant period" wherever required as supporti....
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....ue of goods exported out of India to be included while calculating "adjusted total turnover" will be same as being determined as per the Explanation inserted in the said sub-rule. 4. Clarification in respect of admissibility of refund where an exporter applies for refund subsequent to compliance of the provisions of sub-rule (1) of rule 96A: 4.1 References have been received citing the instances where exporters have voluntarily made payment of due integrated tax, along with applicable interest, in cases where goods could not be exported or payment for export of services could not be received within time frame as prescribed in clause (a) or (b), as the case may be, of sub-rule (1) of rule 96A of TNGST Rules. Clarification is being sought as to whether subsequent to export of the said goods or as the case may be, realization of payment in case of export of services, the said exporters are entitled to claim not only refund of unutilized input tax credit on account of export but also refund of the integrated tax and interest so paid in compliance of the provisions of sub-rule (1) of rule 96A.of TNGST Rules. 4.2 It is mentioned that in terms of sub-rule (1) of rule 96A of the T....