<p><span>The Government of India has issued clarifications on various refund-related issues under the GST regime. The key highlights from Circular No. 59/33/2018-GST are as follows:</span></p><ol start="1"><li><span><strong>Submission of Invoices for Refund Claims</strong>:</span><ul><li><span>Claimants no longer need to submit hard copies of invoices if details are available in FORM GSTR-2A. Proper officers may request hard copies only if necessary.</span></li></ul></li><li><span><strong>System Validations for Refund Calculation</strong>:</span><ul><li><span>The refund amount is calculated based on the least amount among three criteria. Until portal updates are made, claimants should follow the order of debiting the electronic credit ledger.</span></li></ul></li><li><span><strong>Re-Credit of Electronic Credit Ledger on Rejection</strong>:</span><ul><li><span>If a refund claim is rejected due to ineligible ITC, the amount is re-credited, and a demand notice is issued. If rejected for other reasons, re-credit is subject to claimant's undertaking.</span></li></ul></li><li><span><strong>Rule 96(10) Clarifications</strong>:</span><ul><li><span>Restrictions under Rule 96(10) apply only to direct purchasers/importers who avail benefits of specified notifications. Secondary purchasers can still claim refunds.</span></li></ul></li><li><span><strong>Disbursal of Refund Amounts</strong>:</span><ul><li><span>Tax authorities must disburse sanctioned refund amounts despite any discrepancies noticed, which should be reported to the relevant authorities.</span></li></ul></li><li><span><strong>Status of Refund Claims after Deficiency Memo</strong>:</span><ul><li><span>If a deficiency memo is issued, claimants must file a fresh refund application. Show-cause notices are not required for such cases.</span></li></ul></li><li><span><strong>Refund Claims Below Rs. 1,000</strong>:</span><ul><li><span>Claims under Rs. 1,000 should be rejected and re-credited in the electronic credit ledger. This limit applies separately to each tax head.</span> <a href="https://cms.plasament.com/storage/circular-59-33-refund-circular.pdf">Circular_59-33_Refund_Circular</a><br> </li></ul></li></ol>