Section 54 of the CGST Act, 2017 —Refund --The Petitioner challenged the refund rejection order, whereby the Respondent No. 1 rejected the refund on the ground that the Petitioners are not entitled for refund in respect of such transactions. The Special Counsel for Respondent submitted that vide policy document issued by the CBIC on 27 December 2022, there have been substantial changes in the procedure governing the application for refund by unregistered persons such as the Petitioners. The court observed that the Petitioners are flat purchasers and unregistered persons and that the policy now has been evolved governing the application for refund by unregistered person subsequent to passing of the impugned order rejecting the refund.

Held that:- The Hon’ble High Court set aside the impugned order and restored the application of the Petitioners dated 4 September 2020 to the file of Respondent No. 1. The application to be decided within twelve weeks.