<p><span>In December 2022, the Ministry of Finance, Government of India, issued Circular No. 188/20/2022-GST. This circular addresses the manner of filing an application for a refund by unregistered persons. The clarifications have been made in response to instances where unregistered buyers had to cancel agreements with builders or long-term insurance policies due to delays or other reasons.</span></p><p><span><strong>Key Highlights:</strong></span></p><ol start="1"><li><span><strong>Refund for Unregistered Persons:</strong> The circular provides a new functionality on the common portal for unregistered persons to take temporary registration and apply for a refund under the category "Refund for Unregistered Person."</span></li><li><span><strong>Temporary Registration:</strong> Unregistered persons must obtain temporary registration using their PAN and select the state/UT where their supplier is registered.</span></li><li><span><strong>Aadhaar Authentication:</strong> Unregistered persons need to undergo Aadhaar authentication and provide bank account details for the refund process.</span></li><li><span><strong>Form GST RFD-01:</strong> Refund applications must be filed using Form GST RFD-01 along with Statement 8 and requisite documents.</span></li><li><span><strong>Credit Note Issuance:</strong> In cases where the time period for credit note issuance under Section 34 has not expired, suppliers can issue credit notes and refund the tax directly.</span></li><li><span><strong>Relevant Date for Refund:</strong> The date of issuance of the cancellation letter by the supplier will be considered as the relevant date for filing a refund application.</span></li><li><span><strong>Minimum Refund Amount:</strong> No refund shall be claimed if the amount is less than one thousand rupees.</span> <a href="https://cms.plasament.com/storage/cir-188-20-2022-cgst.pdf">cir-188-20-2022-cgst</a><br> </li></ol>