Dealers To Get Rs 20 Crore GST Refund

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Indore: The state commercial tax department has initiated the process of GST refund to the dealers. The department has so far refunded Rs 20 crore to eligible dealers under Goods and Services Tax (GST).
According to the department, about 600 applications from dealers across the state were received. Of them, 400 applications have been disposed of. “We hope to clear the refund of dealers soon. Pending applications are being sorted out for refund,” a senior official said.

There are over 200 applications claiming about Rs 7 crore for refund under GST. About 70 per cent of the refund claim is from the businessmen of Indore, the industrial hub of the state, said sources.

Exporters are eligible for refund of input tax, additional deposits and wrong submission of amount. The delay in granting refund to eligible exporters has resulted in piling up of hundreds of applications as old as seven months, say dealers.
Industry experts said refund of exporters under the new tax regime has been delayed owing to several changes in the mode of refund by the GST council and non-updated software.

They said that state government had not been able to still develop a mechanism to initiate the process of payment to exporters under GST.

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Ahilya Chamber of Commerce GST expert Nitesh Gupta said, “Very few dealers have been able to get GST refund till date. Poor connectivity between the customs department and GST is leading to slow data flow.”
 He said discrepancies between GSTR1 of supplier and GSTR2A of the receiver is the major problem that is halting the process of GST refund. Gupta said, “Dealers whose bills of shipping invoice and bill of exports are not updated are facing problem in getting  GST refund from the department.”
 Delay in the refund process has adversely hit exporters business forcing many entities to avail fresh loans to keep their business running since delay in refund blocked their working capitals.
Source : TOI

 


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