CGST Rule 94 of Central Goods and Services Tax Rules, 2017 – Order sanctioning interest on delayed refunds

The Central Goods and Services Tax Act, 2017

The Central Goods and Services Tax Rules, 2017

Chapter-X Refund

Rule 94: Order sanctioning interest on delayed refunds.

94.¹[(1)] Where any interest is due and payable to the applicant under section 56, the proper officer^c1 shall make an order along with a ²[payment order] in FORM GST RFD-05, specifying therein the amount of refund which is delayed, the period of delay for which interest is payable and the amount of interest payable, and such amount of interest shall be electronically credited to any of the bank accounts of the applicant mentioned in his registration particulars and as specified in the application for refund.

³[(2) The following periods shall not be included in the period of delay under sub-rule (1), namely:-

(a) any period of time beyond fifteen days of receipt of notice in FORM GST RFD-08 under sub-rule (3) of rule 92, that the applicant takes to-

(i) furnish a reply in FORM GST RFD-09, or

(ii) submit additional documents or reply; and

(b) any period of time taken either by the applicant for furnishing the correct details of the bank account to which the refund is to be credited or for validating the details of the bank account so furnished, where the amount of refund sanctioned could not be credited to the bank account furnished by the applicant.]

References

Enforcement:

Enforced w.e.f. July 01, 2017 [Notification No. G.S.R. 663(E) dated 28.06.2017].

Amendments:

1. Renumbered by Central Goods and Services Tax (Second Amendment) Rules, 2023 vide Notification No. 38/2023-Central Tax dated 4th August, 2023, w.e.f. 01.10.2023.

2. Substituted by Central Goods and Services Tax (Fourth Amendment) Rules, 2019 vide Notification No. 31/2019-Central Tax dated 28th June, 2019, w.e.f. 24.09.2019 [Notification No. 42/2019 – Central Tax dated 24th September, 2019], for the words “payment advice”.

3. Inserted by Central Goods and Services Tax (Second Amendment) Rules, 2023 vide Notification No. 38/2023-Central Tax dated 4th August, 2023, w.e.f. 01.10.2023.

Circulars:

c1. Proper officer relating to provisions other than Registration and Composition, refer Circular No. 3/3/2017-GST dated 05.07.2017.