Heard learned advocate Mr.Varis Isani for the petitioner.

2. The petitioner- partnership firm filed this petitioner inter alia putting forth the case that it has exported goods during the period between November, 2019 to June, 2020.

2.1 It was the further say that the petitioner was eligible to get refund of Integrated Goods And Service Tax in accordance with the provisions of Act, however the refund aggregating Rs.1,31,89,893/- and Rs.6,98,991/- towards duty drawback were withheld by the authorities.

3. The above grievance led the petitioner to file the present petition in which following prayers were made.

“(i) to direct the respondent authorities to immediately sanction the refund of IGST paid in regard to the goods exported i.e. “Zero Rated Supplies” made vide shipping bills.

(ii) to pay interest @24% to the petitioner herein on the amount of refund of IGST mentioned hereinabove from the date of shipping bills uptill the date on which the amount of refund is paid to the petitioner.”

4. When the petition came up for consideration, learned advocate for the petitioner made a statement before the court that principal prayer regarding grant of refund of Integrated Goods And Service Tax does not survive as the petitioner has already received the refund amount to the full extent. He however submitted that the claim towards payment of interest survives and therefore he pressed the prayer with regard to the grant of interest.

5. The Section 56 of the Goods and Services Tax Act, 2017 deals with the interest on delayed payments. The Section reads as under.

“56. Interest on delayed refunds- If any tax ordered to be refunded under sub-section (5) of section 54 to any applicant is not refunded within sixty days from the date of receipt of application under sub-section (1) of that section, interest at such rate not exceeding six per cent as may be specified in the notification issued by the Government on the recommendations of the Council shall be payable in respect of such refund from the date immediately after the expiry of sixty days from the date of receipt of an application under the said sub-section till the date of refund of such tax.

Provided that where any claim of refund arises from an order passed by an adjudicating authority or Appellate Authority or Appellate Tribunal or court which has attained finality and the same is not refunded within sixty days from the date of receipt of application filed consequent to such order, interest at such rate not exceeding nine per cent as may be notified by the Government on the recommendations of the Council shall be payable in respect of such refund from the date immediately after the expiry of sixty days from the date of receipt of application till the date of refund.

Explanation. – For the purpose of this section, where any order of refund is made by an Appellate Authority, Tribunal or any Court against an order of the proper officer under subsection (5) of section 54, the order passed by the Appellate Authority, Appellate Tribunal or, by the Court shall be deemed to be an order passed under the said sub-section (5).”

6. When the authorities have already paid refund amount, as per the interest aspect is concerned, the court is of the view that the petitioner could make appropriate application since grant of interest is contemplated under the statute, before the Goods and Services Tax Authority putting forth his claim for interest on the refund.

6.1 If such application is made within 15 days from today, the competent authority shall consider it in accordance with law to decide the same regarding grant of interest to the petitioner within six weeks from the date of receipt of such application.

7. With the aforesaid observations, this petition is disposed of.