Delay in GST
Refund has been putting the exporters to great difficulties; there was even
apprehension expressed that inordinate delay in GST refund will make the trade
go capital dry. In fact, something like a bad penny that always turns up, almost
in every trade forum, this issue of delayed GST Refund always on the agenda.
And the government lost no time in responding to the needs of the trade and has
been consistently taking effective steps to redress the grievance of the
In line with the commitment of Government to liquidate
all pending GST refunds filed till 30th April, 2018, the
Central Board of Indirect Taxes and Customs (CBIC) has successfully concluded
the 2nd Special Refund Fortnight extended from 31st May,
2018 to 16th June, 2018, says an official statement.
By the end of 16th June, 2018,
Rs.6,087 crore IGST refund has been sanctioned in the refund
fortnight. The interesting facts during the second fortnight are (i) about
1,68,191 shipping bills have been processed (ii) IGST refund claims of about
9,293 exporters have been sanctioned including about 3500 new exporters, whose
refunds had been held up, have got their refund sanctioned.
During the period, all field formations of CBIC and
States, once again worked hard to provide refund relief to the
exporters. Special refund cells manned by experienced staff were put in
place throughout the country. Exporter awareness campaigns using both print
media and social media were carried out so that the benefit could be
extended to maximum exporters. All field formations were tasked to go the extra
mile in order to facilitate the sanctioning of refunds. Issues which threw
new challenges while sanctioning of refunds were clarified by circulars,
The amount of RFD-01A refund claims received by the
Centre as on 30th April, 2018 was Rs. 9,816 crores. The target for the Special
Refund Fortnight was to dispose off this amount. During the refund fortnight,
an amount of Rs. 1,548 crores was sanctioned by the Centre and Rs. 2,290 crores
by the States. This takes the amount of RFD-01A refund claims disposed, as on
16.06.2018, by the Centre to Rs. 10,824 crores and by the States to Rs. 7,287
crores. Thus, the total amount of RFD-01A claims disposed off stands at Rs.
In all, Rs 21,142 crore (IGST refunds), Rs. 9,923
crore (RFD-01A refund by CBIC) and Rs 6,997 crore (RFD-01A refund by States)
all totaling Rs 38,062 crore has been sanctioned till 16th June,
2018. Considering the amount of rejected claims, the total IGST disposed is Rs
23,437 Crore, RFD-01A (by CBIC) is Rs10,824 crore, RFD-01A (by States) is Rs 7,
287 crore and total GST refund disposed till 16th June, 2018
stands at Rs 41,548 crore.
The momentum gained during this fortnight would be
carried on by all formations where refunds are still pending.
The CBIC is dedicated to
sanction all the legitimate refund claims of exporters. Efforts are being made
to resolve those issues which are still pending. However, the exporters need to
ensure that the correct procedure of filing returns, giving accurate
information in Shipping Bill and submitting RFD01A application forms to the
jurisdictional formations are followed for quick disbursal of their refund