GST Refund Claim –Key Changes under Revised Model GST Law
| Key Point | Draft Model GST Law
| Revised Draft Model GST Law
|
| Month of Release | June 2016 | November 2016 |
| Time Limit for Passing Order | Time Limit for Passing Order was 90 days from the date of receipt of Application[ Section 38 (5) ] | Time Limit for Passing Order was 60 days from the date of receipt of Application [Section 48 (7) ] |
| Limitation Period for filing refund claim paid under protest | [ Section 38 (1) ] provides that the limitation of two years for filing refund claim was not applicable for amount paid under protest. | No Such Provision in Section 48 for Claiming the refund paid under Protest |
| Refund of tax by specialized agency of United Nations Organization or any Multilateral Financial Institution or Embassy of foreign countries | No Such Provision in Section 38 | A new provision for refund of tax by specialised agency of United Nations Organisation or any Multilateral Financial Institution or Embassy of foreign countries has been inserted in Section 48(2) which provides that such persons shall be entitled to refund of tax paid by them on inward supplies of goods and or services by making an application before expiry of six months from the last day of the month in which supply was made in prescribed form and manner |
| Refund of unutilized Input tax credit | Refund of unutilised input tax credit shall be allowed only in cases of i) Exports ii) Rate of tax on input is higher than rate of tax on output
[Section 38(2)] | Refund of unutilised input tax credit shall be allowed in cases of i) exports including zero rated supplies or ii)Rate of tax on input is higher than rate of tax on output
Refund of unutilised input tax credit shall not be allowed :-
i) In case of nil rated or fully exempt supplies.
ii) If the supplier of goods or services claims refund of output tax paid under IGST Act, 2016. [Section 48(3) ] |
| Refund claim on provisional basis | The Provisional refund of 80% of the total amount so claimed was required to be given. [Section 38 (4A )] | The provisional refund of 90% of the total amount so claimed is required to be given. [Section 48 (6 )] |
[Editor Note : New The Draft Model GST Law, Draft IGST Law and Draft Compensation Law which would be considered by the GST Council for approval are placed in the public domain for information of trade, industry and other stake holders. on 25.11.2016 :-
Earlier, the Draft Model GST Law was put in public domain in the month of June, 2016 for comments Download: Old Draft Model GST Law -june 2016 ]
Taxable person- Section 10 of New Draft Model GST Law
3 Types of Supply Defined under Revised Model GST Law -be careful to avoid Litigation
GST compliance rating- Section 138 of New Draft Model GST Law
Anti-profiteering Measure – Section 163 of New Draft Model GST Law
Schedule V of New Draft Model GST Law -Person Liable to be Registered