Banking & FinanceFinanceFinanceGSTInFocusNewsPolicies

Finance Ministry Called FIEO’s Claims on GST Refunds as ‘Exaggerated’

Sharing is caring!

Finance Ministry expressed their difference of opinion from FIEO on the GST refunds issue.  Finance Ministry said Rs 71,169 crore worth GST refunds have been disposed of till date and refuted trade body FIEO’s claim that Rs 22,000 crore is stuck, saying the figure is exaggerated and inaccurate.

The Finance Ministry, in a statement, said refund claims are being cleared expeditiously and asked export bodies to refrain from putting out “unsubstantiated” claims as they cause “needless alarm” amongst the exporters.

The Federation of Indian Export Organisations (FIEO) had earlier this week said Rs 22,000 crore GST refunds are pending with the government, which is creating liquidity problems for exporters.

FIEO said refunds of about Rs 7,000 crore are pending on account of Integrated GST (IGST) and about Rs 15,000 crore due to input tax credit (ITC) as of September 30.

The Finance Ministry termed these figures as “exaggerated and thus inaccurate”. It clarified that IGST refund worth only Rs 3,065 crore is held up due to deficiency in claims filed, and the quantum of pending ITC refund is only Rs 2,077 crore.

“It is a fact that a large number of exporters have been granted refunds so far while a few claims are still pending owing to deficiencies found in the claims,” it said.

The ministry said 92.68 per cent (Rs 38,824 crore) of the total IGST refund claims of Rs 41,889 crore have already been disposed.

“The remaining claims amounting to Rs 3,065 crores are held up on account of various deficiencies which have been communicated to exporters for remedial action,” it said.

In the case of ITC refund claims with the Centre and states, the pendency as on date is only Rs 2,077 crore, the ministry said.

SMEStreet Edit Desk

SMEStreet Edit Desk is a small group of excited and motivated journalists and editors who are committed to building MSME ecosystem through valuable information and knowledge spread.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Back to top button
%d bloggers like this: