Tax refund includes refund of tax on goods and/or services exported out of India or on inputs or input services used in the goods and/or services which are exported outside India, or refund of tax on the supply of goods regarded as deemed exports, or refund of unutilized input tax credit as provided under section 38(2).

1. GST -Tax refund
Tax refund includes refund of tax on goods and/or services exported out of India or on inputs or input
services used in the goods and/or services which are exported outside India, or refund of tax on the supply
of goods regarded as deemed exports, or refund of unutilized input tax credit as provided under section
38(2).
Cases in which refund can be claimed
• In the case where excess tax has been paid erroneously.
• The registered dealer has regarded taxability of a particular supply mistakenly as inter-
state supply (IGST) instead of intra-state (CGST/SGST) or vice versa.
• If a specialized agency of the United Nations Organisation has made a purchase on which
tax has been paid by them and claiming the refund for the same.
• Tax paid on the purchase of goods which are meant for zero-rated supply (exports/
supply to SEZ unit or SEZ developer).
• In the case when the registered person is selling goods at a lower tax rate and has paid a
higher tax rate on the purchases, he may claim a refund for the tax that is being paid in
excess. (Except cases where he is selling goods that are nil-rated or fully exempt from
GST)
• Exceptions
o no refund of unutilised input tax credit in a case where goods are subjected to
export duty.
o no refund of input tax credit shall be allowed, if the supplier avails a drawback in
respect of central tax or claims refund of the integrated tax paid.
Forms for application of tax refund

2. 1 GST RFD-01 Refund application
2 GST RFD-02 Acknowledgement at the common portal
3 GST RFD-03 Communication of deficiencies
4 GST RFD-04 Provisional – Order sanctioning the amount of refund
5 GST RFD-05 Payment advice
6 GST RFD-06 Final order sanctioning the amount of refund
7 GST RFD-07 Order giving details of adjustment of outstanding demands with refund amount
8 GST RFD-08 Issuance of notice if refund not admissible
9 GST RFD-09 Reply to notice
10 GST RFD-10 Refund application by embassies, etc.
11 GST RFD-11 Statement of inward supplies of goods/services by embassies, etc
Refund under GST
• The application for the refund of tax/interest can be made within 2 years.
• A registered person can claim refund of any unutilized ITC at the end of any tax period.
• The application for claiming the refund can be made at the end of the each quarter.
• Thr refund cannot be provided if the amount of the refund so claimed is less than 1,000
rupees.
Exceptions
• A registered person, claiming refund of any balance in the cash ledger or electronic credit
ledger, can claim such refund in the Monthly Return.
• Where the goods exported out of India are subject to export duty.

3. • Where the drawback in respect of CGST or claims refund of IGST paid on such supplies
has been availed by the supplier.
Important tax refund provisions
1. Time limit for claiming tax refund has been increased from 1 – 2 years.
2. The Refund which is claimed along with the documentary evidence has to be filed online
without any physical interface and the refund amount of the tax will be directly added to
the nominated bank account of the applicant. Besides, the refund can be claimed through
return also if it is of inadvertent or excess payment.
3. The refund shall be granted within 60 days from the date of receipt of
complete application. Interest is payable if a refund is not sanctioned within the stipulated
period of 60 days.
4. There is no need for the claimant to furnish any documentary evidence if the amount of
refund claim is less than Rs. 5 lakhs, only a self-certification to this effect will have to be
given.
5. 80% of the claim shall be paid immediately on a provisional basis without verification of
documentary evidence in the case of refund claim on account of exports.
The refund of which is claimed by the taxpayer shall be granted within 60 days from the date of
receipt of complete application. If a refund is not sanctioned within the stipulated period of 60
days, Interest is payable not exceeding the rate @ 6%.
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