📰 𝗗𝗲𝗹𝗵𝗶 𝗛𝗶𝗴𝗵 𝗖𝗼𝘂𝗿𝘁 𝗥𝘂𝗹𝗶𝗻𝗴: 𝗚𝗦𝗧 𝗗𝗲𝗽𝗮𝗿𝘁𝗺𝗲𝗻𝘁 𝗢𝗿𝗱𝗲𝗿𝗲𝗱 𝘁𝗼 𝗥𝗲𝗹𝗲𝗮𝘀𝗲 𝗜𝗧𝗖 𝗥𝗲𝗳𝘂𝗻𝗱 𝗔𝗳𝘁𝗲𝗿 𝗪𝗶𝗻𝗻𝗶𝗻𝗴 𝗔𝗽𝗽𝗲𝗮𝗹

📢 The court held, "Repeated deficiency memos cannot be issued without specifics, especially post-appeal decisions granting a refund."

🔍 𝗙𝗮𝗰𝘁𝘀: • 𝗖𝗮𝘀𝗲 𝗧𝗶𝘁𝗹𝗲: Advance Systems vs The Commissioner of Central Tax Excise and CGST • 𝗖𝗮𝘀𝗲 𝗡𝘂𝗺𝗯𝗲𝗿: W.P.(C) 7248/2023 & CM APPL. 28227/2023 • 𝗖𝗼𝘂𝗿𝘁: Delhi High Court • 𝗗𝗮𝘁𝗲: 07-Jul-2023

Issue: Advance Systems, an exporter, sought an Input Tax Credit (ITC) refund for the period January to September 2021 on exports under a Letter of Undertaking (LUT). Initially, the respondent issued a Show Cause Notice (SCN) and rejected the claim. On appeal, the appellate authority granted a partial refund. Despite the favorable appellate decision, the GST Department labeled the renewed application as "deficient" and requested additional documents and a fresh application in GST RFD-01.

𝗖𝗼𝘂𝗿𝘁’𝘀 𝗦𝗼𝗹𝘂𝘁𝗶𝗼𝗻: The Delhi High Court found the Department’s request unjustified, stating that additional documents were unnecessary, as all were provided initially and affirmed in the appellate process. The court directed the respondent to process the refund as per the appellate order without further deficiencies or demands for previously submitted undertakings and declarations.

⚖ 𝗝𝘂𝗱𝗴𝗺𝗲𝗻𝘁: The court mandated immediate refund processing based on the appellate authority’s orders, along with applicable interest. It also clarified that once an appellate decision grants a refund, taxpayers should not face redundant administrative hurdles.

📜 This judgment reinforces taxpayer rights against repetitive procedural barriers, particularly where appellate decisions have already confirmed entitlements. It underscores that the Department must avoid arbitrary deficiency notices and process claims efficiently. Team GSTpanacea 7503031378