AWADKRUPA PLASTOMECH PVT. LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) By this writ-application under Article-226 of the Constitution of India, the writ-applicant has prayed for the following reliefs:-

(2.) It appears from the materials on record that the writ-applicant wants the respondent-authorities to sanction the refund of Integrated Goods and Service Tax [herein after referred to as the 'IGST'] paid in respect of the goods exported i.e. 'Zero Rated Supplies' vide the shipping Bill No.7452830, dated 19/07/2017. It is the case of the writ-applicant that the respondents authorities have illegally withhold the refund of the IGST referred to above. The claim of the writ-applicant came to be rejected under Section-54 of the Central Goods and Service Tax Act, 2017 [herein after referred to as the 'CGST Act'] read with Section-16 of the Integrated Goods and Service Tax Act, 2017. It appears from the materials on record that such claim came to be declined on the ground that the writ-applicant had claimed higher duty drawback. According to the writ-applicant, there is no legal embargo to avail the drawback at higher rate on one hand and availing refund of the IGST paid with regard to the 'Zero Rated Supply' i.e. the goods exported out of India on the other.

(3.) It is pointed out by the learned counsel appearing for the writapplicant that some time in July 2017, the writ-applicant had exported goods and effected 'Zero Rated Supply' under Section-16 of the IGST of the finished goods of a total invoice value of Rs.29,73,166/-. The total taxable value of the said export is Rs.25,19,632/-. It is pointed out that the goods supplied by the registered person were neither Nil Rated goods nor exempt supplies. The said supplies are affected by payment of the IGST in accordance with the provision contained in Section-16(3)(b) of the Act. According to the said provision, a registered person making 'Zero Rated Supply' has an option to claim refund in accordance with Section-16(3)(b) of the Act in a manner as to he may supply goods or services or both, on payment of the Integrated Tax and claim refund of such tax paid on the goods or services or both supplied, in accordance with Section-54 of the CGST Act.