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Whenever a taxpayer pays more GST in the form of tax, interest, a penalty, a fee, or any other type of payment is eligible for a GST refund.

Another case is where the taxpayer is Exporting Services and their output liability is NIL but still, incur GST on their purchases and expenses (input) and have accumulated GST input then they can also file an application for refund for the accumulated amount of GST input.

In order to claim a GST refund, the taxpayer must submit an application using the FORM GST RFD-01. Taxpayers can visit the GST Common Portal, to submit Form RFD-01.

If you have filed the RFD 01 Form, and you’re finding it difficult to track your GST refund status, then this article is for you.   

This article will help you to understand all the detailed information about GST refund status. 

Let’s dive into the topic!

How to track GST Refund status?

You can track your GST refund status using these simple methods. 

Method 1: Tracking before login to the GST portal

Track your GST refund status without logging into the GST portal. 

Step 1: Access to Official GST portal

Step 2: Follow the path Services → Refunds → Track Application Status

Step 3: Select the Refund option from the drop-down.

Step 4: Enter the ARN number. 

Step 5: Click on Search, and you will get the status of your GST refund.

Method 2: Tracking after login into the GST portal

To get further details of your GST refund status, you need to log in to the GST portal. Follow these steps below to track after logging into the portal.

Step 1: Visit the official portal of GST. Now login to your account. 

Step 2: Next, go through these steps. Services → Refunds → Track Application Status.

Step 3: Here you can choose the financial year when you claimed the refund or the ARN of the refund application. 

Step 4: Tap on “Search” to see the status of your refund.

Method 3: Track GST refund status on account of IGST paid on the export of goods

Follow these steps below if you want to track your refund status on account of IGST paid on the export of goods

Step 1: Log in to the official portal of GST

Step 2: Now follow Services → Refunds → Track the status of invoice data to be shared with ICEGATE.

Step 3: Select the appropriate financial year and month from the drop-down.

Step 4: Click on “Search” to see the GST refund status. 

Note: Choose the last month of the quarter for those registered taxpayers who file quarterly.

Who gets a GST refund?

According to Section 54 of the CGST Act, registered taxpayers are eligible for a GST refund. The taxpayers can either get a refund of –

  • Input Tax Credit (ITC)
  • Tax paid

Any taxpayer who pays more GST in the form of tax, interest, a penalty, a fee, or any other type of payment is eligible for a GST refund. 

  • Exports of Goods or services 
  • Include supplies or exports deemed to be provided to an SEZ developer or unit
  • On the overpayment of taxes.
  • When providing the buyer with a refund.
  • About purchases made by embassies, etc.
  • Where the tax rate on input is higher than the tax rate on sales.
  • Upon completion of a Provisional Assessment, a higher amount of Tax was paid earlier.

How long is GST refund?

According to the Indian government, it will take nearly 10 to 45 days to get the GST refund. 

Wherein, as per rules, an acknowledgment in Form GST RFD-02 issued in 15 days. A provisional refund issued within 7 days of the issue of the acknowledgment for zero-rated supplies. 

How do I claim my ITC GST refund?

To get the refund of Input Tax Credit (ITC) on account of exports without payment of Tax, you can comply with the activities as specified below:  

1. You have to file a refund application in Form GST RFD-01 at the GST Portal. You can file for a refund for multiple tax periods in one refund application.

2. Furthermore, you have to provide a turnover of Zero-Rated supplies and an Adjusted Total Turnover for the period for which a refund is sought.

3. The Net ITC in the table “Computation of Refund to be claimed” is auto populated by the system and edited downwards considering the net ITC availed for the heads of CGST/SGST/IGST together and CESS, in the return for the respective tax period for which refund is claimed, excluding any ITC related to Capital Goods, transition ITC that may have been posted in the ledger on account of transition ITC claims in the said period as well as refund claimed under Rule 89(4A) (deemed export) and/ or (4B) (merchant exporter or export).

4. The system will auto-calculate the eligible refund amount and post it in the last column of the table under “Maximum refund amount to be claimed.”

5. The applicants should ensure that the amount claimed as a refund does not exceed such that:

In statement 3A, the amount in each head is equal to or lower than the balance in each head of the electronic credit ledger; the total refund amount should not exceed the “Maximum Refund Amount to Claimed.”

The total refund amount must not exceed the amount calculated at the aggregate level (IGST+CGST+SGST) in the table “Balance in Electronic Credit Ledger at the end of the tax period for which refund is claimed.”

6. The applicant has to be careful while furnishing values in Form GST RFD-01, as no rectification in the application allowed after its filling, and must ensure that:  

Applicants need to ensure that they have filed Form GSTR-1 and Form GSTR- 3B for all the tax periods.

They must have exported goods/services on account of which they are claiming an ITC refund. In the case of the export of goods, the taxpayer shall provide the shipping bill and EGM details.

In the case of the export of services, they should have obtained a FIRC/BRC from the concerned bank for the receipt of foreign exchange.

7. Once the Application Reference Number (ARN) generated, the refund application filed will be assigned to the Jurisdictional Refund Processing Officer for processing. Refund applicants can track the status of refund applications filed using the “Track Application Status” functionality on the portal.

8. The invoice details given under Form GSTR-1 (Table 6A of Form GSTR-1) and as given in the refund statement must be the same.

FAQs: How to track GST refund status

1. Can individuals claim a GST refund?

Yes, any registered taxpayer can claim a GST refund. 

2. What is GST eligibility?

As per the Goods and Services Tax Act, registration is mandatory if the turnover from the sale of goods is more than Rs. 40 lakhs in a financial year or the sales of services are more than Rs. 20 lakhs in a financial year. The aforementioned limits are applicable to all states except special category states. Special Category states have these threshold limits lower by 50% than other states.

3. Can we get a GST refund after 2 years?

No, the time period for claiming a GST refund is only two years from the date of payment. 

Wrapping Up

We hope this article gives you a clear idea of how to track GST refund status. To get more information about GST, check out our website, InstaFiling. If you have any queries, post them in the comment section, and our expert team will respond to them. You can also contact our expert team for additional information or clarification. Happy to help.

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