I am Navinchandra
Bhindora from Veraval, Gujarat. I have exported goods without payment of IGST
using LUT. Now I have applied for refund of untilised ITC shown in return. But
as if I have claimed higher duty drawback in the month of July I am restricted
to claim CGST and IGST as per section 54 and as per circular no. 37/11/2018 GST
So can you please
guide me with a proper reason to prove that am i able to claim SGST in respect
to above transaction?
54(3) of the CGST Act, 2017 provides for refund of any unutilised input tax
credit of inputs and input services at the end of any tax period except where
the exporter claims drawback of CGST or refund of IGST paid on such export.
as per circular no. 37/11/2018 a supplier availing of drawback only with
respect to basic custom duty shall be eligible for refund of unutilised input
tax credit of central tax/ state tax/ union territory tax/ integrated tax/
compensation cess under the said provision. It is further clarified that
refund of eligible credit on account of State tax shall be available even
if the supplier of goods or services or both has availed of drawback in respect
of central tax.
In my opinion, with due
consideration of above mentioned section, refund of SGST is not admissible as
facility of higher duty drawback has been availed by exporter.