Exporters set to get Rs 3500 crore worth GST good news soon
The Goods and Services Tax (GST) refunds worth Rs 3,500 crore, stuck due to incorrect filings by exporters, will soon be released, government sources said.
The Goods and Services Tax (GST) refunds worth Rs 3,500 crore, stuck due to incorrect filings by exporters, will soon be released, government sources said. “There are claims to the tune of Rs 3,500 crore that are stuck in the GST Network (GSTN). This is because exporters have filed wrong claims. They have miscalculated domestic and export supplies. These will be released shortly,” a senior finance ministry official said.
The ministry has asked the GST authority to get the data from the Customs department and correct it manually. The exporters, however, peg the pending refunds at around Rs 7,000 to Rs 10,000 crore. “I hope the inaccuracies come down fast and the situation improves,” Ajay Sahay, director general, Federation of Indian Exporters’ Organisation (FIEO), said.
There has been confusion among exporters while filing information regarding nil-rated goods, zero-rated supply and non-GST supply. “This has led to wrong information being provided by the exporters in the GSTR 1 and 3B forms,” the official said. There are discrepancies in the forms submitted by the exporters to the Customs department and the GSTN. Exporters have to file GSTR 1 and 3B online. The 3B is filed monthly and has details of sales, purchases and GST liability.
So far, the government has released Rs 12,700 crore, or 80% of the eligible claims, during the refund camps held across the country recently.
It, however, doesn’t include the claims on account of the erroneous filings. The Central Board of Direct Taxes (CBEC) has held the refund camps in their offices across the country from 15-31 March.
The exporters have demanded that a similar exercise be taken up by the state authorities.
Source: DNA Money