Faster GST Refunds For Exporters  From Next Month As Revenue Department Plans To Make The Process AutomatedGST Council meet. (Indranil Bhoumik/Mint via Getty Images)

Exporters of goods and services as well as suppliers to the Special Economic Zone (SEZ) units are likely to get Goods and Services Tax (GST) refunds automatically from June 2019 as the revenue department prepares to introduce faceless scrutiny of refunds and faster claim settlement, reports Economic Times.

Presently automatic refund is available only to the exporters who have paid Integrated GST (IGST) while exporting goods. Given the systems of GST Network (GSTN) and Customs are integrated, refunds are transferred to the bank accounts of such exporters within a fortnight.

However, the same is not true for manufacturing exporters and suppliers to the SEZs who want to claim a refund of Input Tax Credit (ITC) as they have to file an application Form GST RFD-01A on the common portal and thereafter manually submit a print out of the form along with other documents to the jurisdictional officer, post which it could take months for the refunds to be directed to their bank accounts.

Thus, the implementation of new automated refunds mechanism is a matter of significance given the time period for such refunds will come down to about a fortnight from months at present.

Not only will this automated mechanism make the process faster, but also help in eliminating fake refunds.

An Appeal...

Dear Reader,

As you are no doubt aware, Swarajya is a media product that is directly dependent on support from its readers in the form of subscriptions. We do not have the muscle and backing of a large media conglomerate nor are we playing for the large advertisement sweep-stake.

Our business model is you and your subscription. And in challenging times like these, we need your support now more than ever.

We deliver over 10 - 15 high quality articles with expert insights and views. From 7AM in the morning to 10PM late night we operate to ensure you, the reader, get to see what is just right.

Becoming a Patron or a subscriber for as little as Rs 1200/year is the best way you can support our efforts.

Become A Patron
Become A Subscriber
Advertisement