Navigating through the GST refund process can often be complex, especially for entities like the Canteen Stores Department (CSD). The recent Circular No. 227/21/2024-GST aims to streamline this process by introducing a new electronic submission method. This blog will guide you through the updated procedure, ensuring a smooth and efficient refund claim experience.
Understanding the Context
The Central Government, through various notifications in 2017, allowed the CSD to claim a 50% refund on the applicable central tax, integrated tax, and Union territory tax paid on all inward supplies of goods. Initially, this process required manual submission. However, with the new electronic system, filing for refunds has become more convenient.
Key Updates in the Circular
1. Electronic Filing System
- The CSD can now file refund applications electronically using FORM GST RFD-10A on the common portal.
- This new functionality aims to make the submission and processing of refund applications seamless.
2. Revised Filing Procedure
- CSDs must file applications for refunds quarterly.
- Refund claims can include multiple quarters and financial years, providing flexibility.
3. Document Requirements
- Each refund application must be accompanied by:
- An undertaking stating that the goods were received for subsequent supply to Unit Run Canteens or authorized customers.
- A declaration ensuring no previous refunds were claimed for the invoices in question.
4. Relevant Dates
- Applications must be filed within two years from the last day of the quarter in which the goods were received.
5. Processing and Verification
- Proper officers will verify the GSTIN details, scrutinize application completeness, and validate the invoices against supplier returns.
- Refunds are capped at 50% of the applicable taxes and must meet all eligibility criteria.
Step-by-Step Guide to Filing Refunds
1. Login to the Common Portal
- Access the GST common portal using your credentials.
2. Fill in FORM GST RFD-10A
- Complete the form with accurate details of the inward supplies and corresponding invoices.
3. Attach Required Documents
- Upload the necessary undertaking and declaration documents as per the guidelines.
4. Submit the Application
- Ensure all details are correct before submitting the application electronically.
5. Track the Application
- Monitor the status of your application through the common portal.
Conclusion
The new electronic filing system for GST refunds introduced by Circular No. 227/21/2024-GST simplifies the process for the CSD, making it more efficient and less time-consuming. By following the revised procedures and ensuring all required documents are accurately submitted, the CSD can effectively claim their entitled refunds.
For more information please refer below circular :
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This article is only a knowledge-sharing initiative and is based on the Relevant Provisions as applicable and as per the information existing at the time of the preparation. In no event, RMPS & Co. or the Author or any other persons be liable for any direct and indirect result from this Article or any inadvertent omission of the provisions, update, etc if any.
