Manmade and Technical Textiles Export Promotion Council (MATEXIL)

Procedure relating to sanction, post-audit and review of refund claims

Circular No.ES/34/2022-23                                                  15th June, 2022      


To: Members of the Council         


Sub: Procedure relating to sanction, post-audit and review of refund claims 


Dear Member,        


This is to inform you that CBIC has issued Instruction No. 03/2022-GST dtd. 14th June, 2022 on the above subject. 


In this regard, please find the key highlights of the Instructions:  

  • While passing the Refund Sanction Order in Form GST RFD-06, detailed Speaking Order should be attached containing a detailed examination of key important aspects related to refund of the respective category.  
  • Refund claims are not subject to pre-audit as per guidelines issued in Circular No.17/17/2017-GST dtd. 15.11.2017, however compulsory post-audit henceforth be conducted only for refund claims amounting to Rs. 1 Lakh or more till further instructions. Post audit should be concluded within 3 months from the date of issue of Refund Order RFD-06.  
  • All refund orders are required to be reviewed for taking a view of whether an appeal to the appellate authority under the provision of Sub-section 2 of Section 107 of the CGST Act, 2017 needs to be filed. The review shall be completed at least 30 days before the expiry of the time limit (6 months from the date of communication of Order). 


For detailed information on instructions/guidelines for sanction, post-audit and review of refunds, members may kindly refer to CBIC’s Instruction No. 03/2022-GST dtd. 14th June, 2022. 


Members may kindly make a note of the above.  


Thanking you,                        


Yours faithfully,