Procedure to Claim Refund Subsequent to a Favourable Order
<p><span>The Government of India has provided clarifications on the procedure to be followed by registered persons to claim refunds after receiving a favourable order in an appeal or any other forum. The key points from Circular No. 111/30/2019-GST are as follows:</span></p><ol start="1"><li><span><strong>Appeal Disposal and Re-Credit</strong>:</span><ul><li><span>Appeals against rejection of refund claims are currently disposed of offline. Re-crediting the amount debited from the electronic credit ledger is not done until the appeal is finally rejected.</span></li></ul></li><li><span><strong>Fresh Refund Application</strong>:</span><ul><li><span>Upon receiving a favourable order, the registered person must file a fresh refund application under the category "Refund on account of assessment/provisional assessment/appeal/any other order" and provide details of the order and necessary documents.</span></li></ul></li><li><span><strong>Sanction and Payment Order</strong>:</span><ul><li><span>The proper officer will sanction the refund amount allowed in the appeal and issue a payment order. Any amount remaining rejected will be re-credited following the guidelines in Circular No. 59/33/2018-GST.</span></li></ul></li><li><span><strong>Example Scenario</strong>:</span><ul><li><span>If a registered person applies for a refund of ₹100 and receives ₹70 with ₹30 rejected, they can claim a refund of the allowed amount (e.g., ₹10) under the new category. The remaining amount (₹20) will be re-credited once the application is processed.</span></li></ul></li><li><span><strong>Communication Between Officers</strong>:</span><ul><li><span>If the proper officer processing the fresh refund application is different from the one who rejected the original claim, they must communicate and ensure the ARN is closed properly.</span> <a href="https://cms.plasament.com/storage/circular-cgst-111.pdf">circular-cgst-111</a><br> </li></ul></li></ol>