Delhi High Court
Medical Bureau vs Commissioner Of Central Goods And ... on 2 August, 2021
$~93
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ W.P.(C) 7475/2021 & CM APPL. 23486/2021
MEDICAL BUREAU ..... Petitioner
Through: Mr.Rajesh Mahna, Mr.Ruchir Bhatia,
Mr.Ramanand Roy, Ms.Archana
Wadhwa, Mr.Mayank Kouts,
Mr.Shiva Narang & Mr.Akshay
Bhatia, Advs.
versus
COMMISSIONER OF CENTRAL GOODS AND SERVICE TAX
DELHI NORTH & ANR. ..... Respondent
Through: Mr.Harpreet Singh, Sr. Standing
Counsel for R-1 & R-2 with
Ms.Suhani Mathur, Adv.
% Date of Decision: 02nd August, 2021
CORAM:
HON'BLE MR. JUSTICE MANMOHAN
HON'BLE MR. JUSTICE NAVIN CHAWLA
JUDGMENT
MANMOHAN, J: (Oral)
1. The hearing has been conducted through video conferencing.
2. Present writ petition has been filed seeking direction to the
Respondent to refund to the petitioner the amount of Rs.1,35,30,255/-, being
unutilized input tax credit for the months of October 2017 to July 2018
along with interest thereon.
2. Learned counsel for the Petitioner states that the present Petition
arises on account of the failure of the Respondents to issue the refund due to
the petitioner under the provisions of the Integrated Goods & Services Tax
Signature Not Verified
Digitally Signed
By:KRISHNA BHOJ
Signing Date:04.08.2021
22:17:44
Act, 2017 and the Central Goods & Services Tax Act, 2017 [CGST Act]
resulting on account of exports made by the Petitioner out of India which are
termed as 'Zero rated supplies' in GST.
3. He states that the Petitioner is engaged in the business of purchase and
exports of pharmaceutical products. He adds that the Petitioner was
registered with the Trade & Taxes Department under VAT and on the
enforcement of Goods and Services Tax Act, the Petitioner migrated to the
said system of taxation as provided in Section 139 of the Central and Delhi
Goods and Services Tax Act, 2017.
4. He emphasises that the exports done by the Petitioner out of India are
zero rated and therefore, in terms of Section 16 of the Integrated Goods and
Services Tax Act, 2017 [IGST Act], the Petitioner is entitled to make
exports on letter of undertaking and consequently, claim refund of unutilized
input tax credit or in the alternative make exports on payment of integrated
tax (IGST) and thereafter, claim refund of such tax paid on exported goods.
5. He points out that in terms of Section 16 (1) of the IGST Act, the
supplies made by the Petitioner were "zero rated supplies" and the Petitioner
became entitled to the refund of unutilized input tax credit as per Section 16
(3) of the IGST Act read with Section 54 of the CGST Act.
6. He states that the Petitioner has made available all the details for
processing of refund to the Respondents and hence, there is no reason or
ground whatsoever for the Respondents to sit over the refund of the
Petitioner and deny the same.
7. He emphasises that the Petitioner ought to have been allowed 90% of
the refund on Provisional basis and the remaining amount within sixty days
as per Section 54 sub-section (6) and (7) of the CGST Act.
Signature Not Verified
Digitally Signed
By:KRISHNA BHOJ
Signing Date:04.08.2021
22:17:44
8. Issue notice. Notice is accepted by Mr.Harpreet Singh, senior standing
counsel on behalf of the respondents. He prays for some time to file a
counter affidavit. However, keeping in view the limited direction that we
intend to pass, we are of the view that no counter affidavit is required.
9. Having perused the paper book, we find that the Petitioner's refund
applications being GST RFD-01A have not been disposed of till date.
Consequently we direct the original Adjudicating Authority to decide the
said refund applications within a period of six weeks in accordance with law
in particular the judgment passed by this Court in Medical Bureau vs.
Commissioner of Central Goods and Services Tax Delhi North & Ors.,
being WP(C) 3917/2020 dated 10th November, 2020. With the aforesaid
direction the present petition along with pending application stands disposed
of.
10. The order be uploaded on the website forthwith. Copy of the order be
also forwarded to the learned counsel through e-mail
MANMOHAN, J
NAVIN CHAWLA, J
AUGUST 2, 2021/rv
Signature Not Verified
Digitally Signed
By:KRISHNA BHOJ
Signing Date:04.08.2021
22:17:44
