Section 54 of the CGST Act — Refund — The appellant department challenged the orders sanctioning refund claims. The assessee filed refund claim, on account of ITC accumulated due to inverted Tax structure on export of Goods & Service without payment of IGST. The adjudicating authority has sanctioned the refund claims. The Audit Cell during post Audit of the refund claims observed that the refund claims were filed after the issuance of Circular No.59/33/2018-GST dated 04.09.2018. The authority observed that clarification issued under Circular No. 59/33/2018-GST dated 04.09.2018 holds good and the same ore entirely binding on lower authority. Therefore, the Impugned orders which are issued in violations of the clarifications or not legally sustainable to the extent, they sanctioned refund in excess.

Held that:- The Hon’ble authority allowed the appeals to the extent the claim of excess amount of refund and set aside the impugned orders to the extent sanctioned refund in excess.