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GST Refund - Deemed Exports

GST Refund for Deemed Exports

GST Refund for Deemed Exports

The registered taxable person (or exporter) is required to apply for the refund on the GST portal for the supplies of goods under deemed export. In this article, we look at the process for making a refund for deemed export.

Deemed Exports

Deemed exports are supplies of goods that are notified by the government on the recommendation of the council under the following conditions are:

  • The goods supplied do not leave India.
  • Payment for such supplies is collected in Indian Rupees or Convertible Foreign Exchange.
  • Such goods are manufactured or produced in India.

Categories of Supply of Goods(Deemed Exports)

The following categories of supply of goods are considered as deemed exports are explained below:

  • The supply of goods by a registered individual against advance authorisation.
  • The supply of capital goods by a registered individual against export promotion capital goods authorisation.
  • The supply of goods by a registered individual to export-oriented unit
  • The supply of gold by a bank or public sector undertaking.

Eligibility Criteria

If the registered taxpayer has paid any tax on inward supplies received which is considered as deemed exports, then the recipient of the deemed exports is eligible to claim their refund of the tax amount paid which is reflected as input tax credit in their electronic cash ledger. Therefore, the declaration has to be provided by the supplier that no claim for refund performed concerning the said supplies.

Documents Required

The applicant has to upload the required documents along with Form RFD-01A, as notified under CGST Rules or Circulars stated. Additionally, Statement 5B having details of invoices for which the refund is to be claimed or any other supporting documentation can be uploaded by the taxpayer, if needed by the sanctioning authority.

Know more about GST Refund Documents Required.

Procedure To Claim Refund – Deemed Exports

To claim for a refund on account of the recipient of deemed exports, follow the steps mentioned below:

Step 1: Kindly visit the official portal of GST department.

Provide Login Details

Step 2: Login to the GST Portal with accurate details like username and password and click on “Login” button.

Step 3: Click the Services and select “Application for refund” option from Refund menu.

GST Refund - Deemed Exports - Image 1
GST Refund – Deemed Exports – Image 1

Choose Refund Type

Step 4: Select the “On account of Refund by Recipient of deemed export”

option from the refund type.

GST Refund - Deemed Exports - Image 2
GST Refund – Deemed Exports – Image 2

Step 5: Choose the Financial Year and Tax Period for which application has to be filed from the drop-down list and click the Create button.

Step 6: Select “Yes or No” option for refund made for all previous tax periods starting from registration date.

In case of Yes

Step 7: Select the Declaration check box and choose the name of authorised signatory in the Name of Authorized Signatory drop-down list.

Step 8: Click the “File with DSC” or “File with EVC” button.

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GST Refund – Deemed Exports – Image 3

Filing with DSC

  • Click the Proceed button and select the certificate and click the SIGN button.

 Filing with EVC

  • Enter the OTP which is received to your email ID and mobile number of the Authorized Signatory and press the Verify button.

 In case of No

Step 9: The Refund on account of Refund by Recipient of the deemed export page is displayed.

Download Offline Utility

Step 9: Click the “Download Offline Utility” link and press the “Proceed” button to continue.

GST Refund - Deemed Exports - Image 4
GST Refund – Deemed Exports – Image 4

Step 10: Now open the excel sheet and enter the GSTIN and From and To Return Period in the prescribed format.

Step 11: Enter the details of Sr. No., invoices of inward supplies and tax paid and click the “Validate & Calculate” button.

GST Refund - Deemed Exports - Image 5PNG
GST Refund – Deemed Exports – Image 5PNG

Step 12: The total number of records in the sheet is displayed. Click the “Ok” button.

Step 13: Click the “Create File To Upload” button and save your file.

GST Refund - Deemed Exports - Image 6
GST Refund – Deemed Exports – Image 6

Upload details of invoices of inward supplies in case refund is claimed by the recipient

Step 14: Click the tab Click to fill the details of invoices of inward supplies in case refund is claimed by the recipient.

Step 15: Now, Press the “Click here to upload” button.

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GST Refund – Deemed Exports – Image 7

Step 16: Now save the refund statement file and click the “Open” button.

Step 17: Click the “Download Unique Invoices” tab to view the invoices that have been uploaded successfully and click Validate statement button.

GST Refund - Deemed Exports - Image 8
GST Refund – Deemed Exports – Image 8

Step 18: Upon statement validation, a confirmation message on the screen that the statement has been submitted successfully for validation. Click the “Back” button.

Refund by Recipient of Deemed Export

Step 18: Enter the value in statement 5B below for the tax period for which the refund to be claimed.

Step 19: After filing the appropriate details in the statement-5B, provide the refund amount to be claimed in the table “Amount Eligible for Refund”.

Step 20: You can click the hyperlink Click to view Electronic Liability Ledger to see details of Electronic Liability Ledger that displays your liabilities/ dues of Returns and other than Returns and press the Go back to refund form to return to the refund application page.

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GST Refund – Deemed Exports – Image 9

Step 21: Select the Bank Account Number from the drop-down list, and Under section upload Supporting Documents, you can upload supporting documents and click the “Submit” button.

Step 22: After the statement successfully submitted a message is displayed for confirmation and click on the “Proceed” button.

Step 23: Select the name of authorised signatory in the name of the authorised signatory drop-down list. Choose the File with DSC or File with EVC button.

GST Refund - Deemed Exports - Image 10
GST Refund – Deemed Exports – Image 10

File With DSC- Method

  • Click the “Proceed” button and select the certificate and click the “Sign.”

File With EVC – Method

  • Enter the OTP sent on email and mobile number of the Authorized Signatory registered at the GST Portal and click the Verify button.

Step 24: Application Reference Number (ARN) receipt is generated and also sent on your e-mail address and mobile phone number. Click the PDF to view the receipt.

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GST Refund – Deemed Exports – Image 11

Note: Once the Application Reference Number is generated on the filing of form RFD-01A, refund application is assigned to refund processing officer for processing. The request will be processed, and refund status will be updated in the portal.

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