Application and procedure of refund :
The application shall be accompanied by –
(a) Such documentary evidence as may be prescribed to establish that a refund is due to the applicant, and
(b) Evidence that incidence of duty has not been passed on by him to any other person. However, where the amount claimed as refund is less than two lakh rupees, self declaration based on documents available with him is sufficient – section 54(4) of CGST Act.
Scrutiny of refund claim and passing of order – If, on receipt of any such application, the proper officer is satisfied that the whole or part of the amount claimed as refund is refundable, he may make an order accordingly and the amount so determined shall be credited to the ‘Consumer Welfare Fund’, except where taxable person proves that he has not passed on burden of tax to another person.
Time limit for deciding refund claim – The proper officer shall issue the order refusing or accepting refund claim within sixty days from the date of receipt of application complete in all respects – section 54(5) of CGST Act.
[Thus, department can surely find some excuse for not deciding refund claim within 60 days]
No refund if amount less than Rs 1,000 – No refund shall be paid to an applicant if the amount is less than rupees one thousand – section 54(14) of CGST Act.