Refund Procedure for Goods/Services made to Zero Rated Supplies

It has been shown that Government has made extra efforts to disburse various Refund requests. However, still there are many applicants who find difficult to file GST refund application and not able to find whether same needs to be filed on common portal or manual.

I have below-mentioned steps to fill refund in case of following Scenarios:

Scenarios	Category of Refund
1	Registered Person make zero rated supplies of goods/services on payment of Integrated tax and claim of tax paid
2	Registered Person make zero rated supplies of goods/services without payment of tax and claim refund of Unutilized input credit in relation to such zero rated supplies
3	Refund of IGST paid on goods exported out of India

For Scenario 1, Applicant needs to file form GST RFD-01A on the common portal (Also known as GST portal www.gst.gov.in) and take print out of the said form shall be submitted before the jurisdictional proper officer along with Statement 2 or 4 of annexure to form GST RFD-01, within 2 year form the date on which GST is paid CA Certificate is not required in above scenario.

For Scenario 2, Applicant needs to file form GST RFD-01A on the common portal and the amount claimed as refund shall get debited in accordance with rule 86(3) of CGST Rules from the amount in the electronic credit ledger to the extent of the claim. The common portal shall generate a proof of Application reference number which would be mentioned in the said form. Applicant needs to submit this manually along with the print out of GST RFD-01 A and necessary statement (Statement 3 or 5 of Annexure to form GST RFD-01) to the jurisdictional proper officer and range mentioned in GST Registration Certificate.

For Scenario 3, shipping bill filed by exporter itself is an application for refund in this scenario. The application shall be deemed to have been filed only when export manifest or export report is filed and the applicant furnished GSTR 3B. Upon receipt of GSTR 3B, The system shall process the claim for refund, which is equals to IGST Paid in respect of such export.

Other Points

• You can get all the forms and statements in CGST Rules, 2017, which got amended time to time.

• It is advised that while processing refund claims on account of zero rated supplies, information contained in Table 9 of GSTR 1 of the subsequent tax period should be taken into cognizance, wherever applicable.

Summary: For the sake of clarity, the entire process of filling and processing of refunds manually is tabulated below :

Scenario	Refund Type	Filling Process
1	Refund of IGST Paid on export of Zero rate supplies of Services to SEZ	Printout of Form GST RFD -01 A needs to be filed manually with the jurisdictional GST officer (only at one place- Centre or State) along with relevant documentary evidences, wherever applicable.
2	Refund of unutilized ITC due to accumulation of credit of tax paid	Form GST RFD-01 A needs to be filled on GST portal. The amount of credit claimed as refund would be debited in the electronic credit ledger and proof of debit needs to be generated on GST portal. Printout of the said form needs to be submitted before jurisdictional officer along with necessary documentary evidences, wherever applicable.
3	Refund of IGST paid on exports of Goods	Shipping bill itself shall be treated as application for refund. No other application is required.