The assessee, engaged in manufacture of edible oil (HSN 1514), claimed refund of accumulated ITC under the inverted duty structure for the period prior to 18-07-2022. Notification No. 09\/2022-CT (Rate) dated 13-07-2022, effective from 18-07-2022, disallowed refunds for goods under HSN 1514 prospectively. The assessee filed refund applications on 04-01-2023 within the statutory two-year limit under section 54. Authorities, relying on CBIC Circular No. 181\/13\/2022 dated 10-11-2022, refused to process the claim, holding that only applications filed before 18-07-2022 were eligible. The High Court held that ITC is an indefeasible right ( CC Excise, Pune\u00a0 v. Dai Ichi Karkaria Ltd. \u00a01999 (112) ELT 353(S.C.) : (1999) 7 SCC 448 \u00a0and the right accrued up to 18-07-2022 cannot be retrospectively taken away by a circular. The restriction created two irrational classes of assessees and violated Article 14. Following rulings of Gujarat High Court in \u00a0Patanjali Foods Ltd. v. UOI \u00a0R\/Special Civil Application No. 17298\/2024 \u00a0dt. 12 -2 -2025 ,AP High Court in \u00a0Priyanka Refineries Pvt. Ltd. v. Dy.CST & and Gemini Edibles and Fats India Ltd. v. ACCT \u00a0(2025) 143 GSTR 636 : 2025 SCC OnLine AP 1435. \u00a0and dismissal of SLP by Supreme Court, 09.05.2025 \u00a0(2025) 143 GSTR 644 : 2025 SCC OnLine SC 1580. The Court quashed Point No. 2 of Circular 181\/13\/2022 as illegal and arbitrary. Authorities were directed to decide refund claims within three months without relying on the quashed circular. ( D.B. CWP No. 2932\/2023, dt. 08-09-2025 )<\/p>\n","protected":false},"excerpt":{"rendered":"
Central Goods and Services Tax Act, 2017 .<\/p>\n
S. 54 : Refund of tax – Input tax credit – Inverted duty structure \u2013 Notification No. 09\/2022 dated 13-07-2022 applicable prospectively \u2013 Refund cannot be denied for period up to 18-07-2022 \u2013 Circular restricting refund claims only if filed before 18-07-2022 held arbitrary and violative of Article 14 \u2013 Refund application filed within limitation period of two years cannot be rejected. [ S. 5(3), Art . 14 , 226 ] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[5],"tags":[],"class_list":["post-56481","post","type-post","status-publish","format-standard","hentry","category-gst-law"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-eGZ","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/56481","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=56481"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/56481\/revisions"}],"predecessor-version":[{"id":56482,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/56481\/revisions\/56482"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=56481"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=56481"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=56481"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}