Calcutta HC Permits New Filing Calculations for Claiming GST Refund in Phase

Filing of fresh calculations has been allowed by the Calcutta High Court to get the refund as regards the GST Refund claim in the Transition Phase.

West Bengal State Rural Development Agency (WBSRDA) is an agency under the Department of Panchayat and Rural Development. The writ petition has been filed, claiming the negligence of the agency. The petition was of a direction to the WBSRDA to pay the GST claim to the petitioner, following the communication of the Ministry of Rural Development, Government of India, dated June 6, 2018.

The petitioner, Sandeep Paul claimed that the calculation was according to the guidelines of the Union of India. However, the WBSRDA has failed to implement the accurate specifics. The Union of India forwarded it on account of a calculation under the Rajasthan VAT Law.

Advocate for the WBSRDA submitted the petition, saying that the specifications were approved in accordance with the calculation of the Rajasthan VAT Law. The Government of India forwarded the law along with the communication dated June 6, 2018. To facilitate the GST refund, WBSRDA created a format.

The calculation submitted by the petitioner does not have a firm impact as it is not in terms of the Memorandum dated June 6, 2018, according to the Union of India. While processing the GST-related claims/payments, the States and the Union Territories should follow the procedure, restated by the Union of India.

The estimation made by the petitioner did not factor in classifying taxes allowed by paragraph A(vii) of the circular dated June 6, 2018. So, the Union of India found the estimation made by the petitioner inaccurate.

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The Advocate’s submission to the Union of India stated that the petitioner should be administered to submit a fresh estimation. The calculation is required to be with exact additional liability and it should factor in the subsumed taxes that are defined in paragraph A(vii) of the circular dated June 6, 2018. If the petitioner submits according to the Union of India’s directed format dated June 6, 2018, and provides essential documents, the process of the GST claim will take place.

Justice Shampa Sarkar, a member of the Coram observed that the claims were made just after the GST had been introduced. So, the applicant may have to suffer from some short-term problems. For a solution, the executive heads of the concerned divisions should make the applicants aware of the procedure and the estimations.

The petitioner’s computations must be processed by both the WBSRDA and its counterpart in the centre for the refund of the GST claims after the petitioner submits them with the required changes and supporting documentation, the court ruled.