Complete Documentation: Vital for Valid Applications

Global Health Ltd Vs Union of India & Ors (Punjab and Haryana High Court)

Facts:

• The petitioner, a healthcare service provider, mistakenly overpaid SGST under the reverse charge mechanism.
• The excess amount paid was Rs. 16,60,114.
• They filed a refund application, rectifying the mistake within two years, as per Section 54 of the CGST Act.

Observations:

• Respondent no.3 issued a deficiency memo after two years, requiring a fresh refund application as per Rule 90(3) of the CGST Rules.
• A second application was filed after rectifying the deficiencies, but it was rejected due to being deemed time-barred, based on a circular.

Conclusion:

• The petitioner challenged the rejection, arguing that the initial application was filed within the two-year limit.
• Referring to a similar case precedent, the court ruled in favor of the petitioner.
• The court set aside the earlier orders rejecting the refund and remanded the case for reconsideration based on the court’s observations.

In essence, the court acknowledged the initial application’s timeliness and directed a fresh consideration of the refund request, emphasizing compliance with the two-year limit.

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