The Union Finance Minister Nirmala Sitaraman presided over the 50th meeting of the GST Council on 11th July 2023 at Vigyan Bhawan in New Delhi including Revenue Secretary, CBIC chairman.
The Finance minister clarified refund related issues under the Goods and Service tax. Such as Consequent to amendment in rule 36(4) of CGST Rules 2017 with effect from 01.01.2022, refund of accumulated Input Tax Credit (ITC) under Section 54(3) of CGST Act, 2017 for a tax period to be restricted to ITC on inward supplies reflected in FORM GSTR-2B of the said tax period or any previous tax period.
The input tax credit means a taxable person can claim credit for goods and service tax paid for purchase of goods or service for furtherance of business.
As per Section 54(3) of CGST Act, 2017 a registered person can claim refund of unutilised input tax credit at the end of any tax period.
Further Consequent to Explanation having been inserted in rule 89(4) of CGST Rules vide Notification No. 14/2022- CT dated 05.07.2022, the value of export goods, to be included while calculating “adjusted total turnover” in the formula under rule 89(4), will be determined as per the said explanation.
The council also clarified the admissibility of refund in cases where export of goods, or the realization of payment for export of services, as the case may be, is made after the time limit provided under rule 96A of CGST Rules, 2017.
Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
