Refund of Unutilised Credit can’t be denied If Assessee Voluntarily Debits Credit amount in Form GSTR-3B: CESTAT [Read Order]

The Bangalore Regional Bench of Customs Excise and Service Tax Appellate Tribunal (CESTAT) in the case of M/s. JMT Consultant Detailing Pvt. Ltd. vs. Commissioner of Central Tax, Bangaluru East has held that the refund of unutilized credit can’t be denied if assessee voluntarily debits or credit amount in Form GSTR-3B.

The appellant is engaged in the Structural Design and Detailing Consultancy Services. Prior to coming up with GST regulation, the appellant used to receive Cenvat Credit in his Cenvat Credit Account. There was the unutilized amount in his Cenvat Credit Account which was claimed by the appellant. The issue raised was whether the unutilized credit can be denied, if in case the assessee voluntarily debits credit the amount in GSTR-3B?

While allowing the appeal, the CESTAT bench headed by judicial member S.S Garg held that the assessee cannot be denied the refunds of the unutilized credit amount and debit.

Moreover, the decision of the tribunal to accept the appeal was made in accordance with the precedent given in the case of M/s Global Analytics India Pvt. Ltd. vs. Commissioner of GST.