Brief summary of the case
Court: IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
Number: R/SPECIAL CIVIL APPLICATION NO. 23798 of 2022
Petitioner: M/s. Choksi Exports
Respondent: UOI
Date of decision: 03.02.2023
Judges: Honourable Ms. Justice Sonia Gokani & Honourable Mr. Justice Sandeep N. Bhatt
Getting refund from the Government was never a cake walk, irrespective of the fact whether there is any dispute or not qua the transaction.
In GST specially in cases where the Exports are with payment of IGST, we find exporters getting classified as RISKY EXPORTER and in the guise of verifying the purchases the IGST refunds are being withheld by the authorities on the instructions of DGARM, an authority which never replies back to the queries or applications of the taxpayer.
Such actions being great cause of worry for exporters. Even after clearing all hurdles & getting the clearance from the jurisdictional authorities DGRAM doesn’t remove the Risky Exporters Tag which results into blocking Huge Working Capital of the Exporter.
One such petition was filed before Hon’ble Gujarat High Court and recently by the Hon’ble Court. I am extremely blessed to have argued the same in the matter of M/s Choksi Exports. I am taking the liberty of sharing the order of Hon’ble Gujarat High Court and i hope it may benefit many.
This difficulty is being faced by the Exporters all across. One such petition is being argued by me at Bombay High Court also, where again huge Refund is illegally withheld by the authorities since last, almost, 2 years.