LatestGoods & Service Tax (GST) 1 July 2026
GST Refund Rules
The Court has ruled that a taxpayer may seek a cash refund of accumulated credit under the existing pre-GST laws or carry forward the credit into GST, but cannot claim a refund of transitional VAT ITC after carrying it forward to GST. This ruling provides clarity on the transitional provisions related to input tax credit
The taxpayer has two options:
- seek a cash refund of accumulated credit under the existing pre-GST laws
- or carry forward the credit into GST.
The Court has made it clear that a taxpayer cannot claim a refund of transitional VAT ITC after carrying it forward to GST.
*The key points to consider are:*
- the transitional provisions related to input tax credit
- the GST laws and rules
- the impact on businesses and taxpayers
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