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CMA Final · Indirect Tax Laws and Practice · GST Refunds - Inverted Duty Structure and Zero Rated Supplies

Under the rule on documents accompanying a refund application, where a registered person claims a refund exceeding two lakh rupees, what must be furnished to show that the incidence of tax has not been passed on, other than in exempted cases such as exports?

For a refund claim above two lakh rupees, the applicant must furnish a certificate in Annexure 2 of FORM GST RFD-01 from a chartered accountant or cost accountant stating that the incidence of tax has not been passed on. A mere declaration applies only up to two lakh rupees.

  1. AA declaration by the applicant alone
  2. BA certificate in Annexure 2 of FORM GST RFD-01 issued by a chartered accountant or a cost accountantCorrect
  3. CAn order of the proper officer confirming no unjust enrichment
  4. DA bank guarantee equal to the refund amount

Explanation

For claims not exceeding Rs 2 lakh, a declaration suffices. For claims exceeding Rs 2 lakh, a certificate in Annexure 2 of FORM GST RFD-01 issued by a chartered accountant or cost accountant is required, with exceptions for the cases in clauses (a) to (d) and (f) of section 54(8).

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