Recently we have seen GST website has made various changes to its website wherein various data for July 2017 was either made inactive and later the same was restored when people complained.
Similarly, GST has also made the facility to apply for refund of July 2017 inactive and because of which many people were facing difficulty in filing their GST refund application.
However, now the same has been reinstated by GSTN and now people can file refund application for July 2017.
The question still is whether you can file refund application for July 2017?
The answer would be no in majority cases, because as per section 54 of the CGST act one can apply for refund of tax within 2 years from the date relevant date. Relevant date has been defined under the act as:
- in the case of goods exported out of India where a refund of tax paid is available in respect of goods themselves or, as the case may be, the inputs or input services used in such goods,––
(i) if the goods are exported by sea or air, the date on which the ship or the aircraft in which such goods are loaded, leaves India; or
(ii) if the goods are exported by land, the date on which such goods pass the frontier; or
(iii) if the goods are exported by post, the date of despatch of goods by the Post Office concerned to a place outside India;
- in the case of supply of goods regarded as deemed exports where a refund of tax paid is available in respect of the goods, the date on which the return relating to such deemed exports is furnished;
- in the case of services exported out of India where a refund of tax paid is available in respect of services themselves or, as the case may be, the inputs or input services used in such services, the date of––
(i) receipt of payment in convertible foreign exchange, where the supply of services had been completed prior to the receipt of such payment; or
(ii) issue of invoice, where payment for the services had been received in advance prior to the date of issue of the invoice;
- in case where the tax becomes refundable as a consequence of judgment, decree, order or direction of the Appellate Authority, Appellate Tribunal or any court, the date of communication of such judgment, decree, order or direction;
- in the case of refund of unutilised input tax credit under sub-section (3), the end of the financial year in which such claim for refund arises;
- in the case where tax is paid provisionally under this Act or the rules made thereunder, the date of adjustment of tax after the final assessment thereof;
- in the case of a person, other than the supplier, the date of receipt of goods or services or both by such person; and
- in any other case, the date of payment of tax.
Hence, now in many cases there are very less chance of applying for refund of July, 2017. Then, why is it important that July, 2017 refund application should be active?
The answer to same lies in practical difficulty where refund application works in the similar fashion as GSTR 3B wherein to apply for future refund application you need to first file earlier application.
Hence, now people who wish to apply for refund of any future months they can do that and claim refund.