GST Refunds-reply to notices/queries!

Navigating the Goods and Services Tax (GST) refund process can be challenging, especially when faced with notices or queries from tax officials. Whether you're a business owner or tax consultant, understanding how to respond effectively to GST notices—such as show cause notices, deficiency memos, or bank account validation issues—is critical to ensuring a smooth refund process. This blog addresses the most frequently asked questions (FAQs) about replying to GST notices, outlines key timelines, and guides you through the steps to view, respond to, and track notices and orders through the GST portal.

FAQs- View Notices/Orders and File Reply to the Issued Notices

1. What is the time frame for an applicant to reply to the notice issued by the Tax Official while processing the refund application submitted by the applicant?

Applicant needs to reply to the notice in Form GST RFD-09, within 15 days or within any other time as fixed by the refund processing officer, from the date of service of notice, to give explanations and submit documents regarding the discrepancies as laid in the notice

2. What a Tax Official can do in case an Applicant has not replied to the notice issued by the Tax Official?

If the applicant doesn’t reply in Form GST RFD-09 to the show cause notice within 15 days or within any other time fixed by the refund processing officer then the status of the refund application will be changed to “Pending for Order-Reply not received" and the Refund Processing Officer can proceed to issue final order.

3. What will happen once an applicant files a reply to the notice issued by the Tax Official (notice issued by tax official) while processing the refund application filed by the applicant)? 

Once the Taxpayer files a reply, the following actions take place on the GST Portal:

The dashboard of the applicant is updated with the record of the filed reply. He/she can view it from the following navigation: Services > User Services > My Applications >REPLIES.

The dashboard of the Tax Official is updated with the record of the filed reply.

The status of the refund application will change to “Pending for Order-Reply Received”.

4. From where can I view the reply filed by me?

Login to the GST Portal. Navigate to Dashboard > Services > User Services > My Applications > Refunds > Search ARN > Select ARN > Replies option.

5. Does an applicant get any intimation about the notice or order issued to them?

The applicant will get intimation about all notices and orders issued to him/her through SMS and e-mail on their registered mobile number and email ID.

6. What will happen once a deficiency memo (Form GST RFD-03) is issued to the applicant?

Once a deficiency memo (Form GST RFD-03) is issued, the applicant needs to file a fresh refund application. After successful filing, a fresh ARN will be generated. In case of a refund of documents declared in a statement for a refund application, the applicant will be able to use the same documents again in the fresh refund application.

7. On issuance of deficiency memo, the amount debited from the ledger at the time of filing of refund application will be auto-re-credited or re-credited through Form GST PMT-03?

In case of the issue of a Deficiency Memo in GST RFD-03 by the Tax Official, there would be auto re-credit of the refund claimed amount in the Electronic Cash/ Credit Ledger of the applicant if the ledger has been debited at the time of filing the refund application. The documents, for which the refund is claimed will again be eligible for a refund to use the same documents in a fresh refund application.

8. What if the Tax Official is not satisfied with the reply filed by applicant in Form GST RFD-09?

The applicant needs to submit a reply in Form GST RFD-09, in respect of the grounds/points mentioned by the Tax Official in a notice in Form GST RFD-08. The Tax Official will consider the reply filed by the applicant. In case, the applicant does not reply to the notice within the stipulated time or the Tax Official is not satisfied with the reply filed by the applicant, he may proceed further to issue a Refund Rejection/ Sanction Order in Form GST RFD-06 for sanctioning/rejecting the amount of refund in whole or part.

9. What types of documents are available in the Orders tab? 

In the Orders tab, there would be two documents, the order and the annexure containing the details of the refund sanctioned, as attached by the sanctioning authority. 

Note: 

If a complete adjustment order or withheld order (Form GST RFD 7B) has been issued by a tax official, on a refund application, then no payment order would be issued. 

In other cases of sanctioned refund, the payment order No (Form GST RFD-05) and the annexure for the amount to be transferred to the bank account given by the applicant would be displayed and can be downloaded, as and when it is issued. 

In the column of PMT-03, the order will be available only in case there is any inadmissible refund amount and the tax officer has issued Form GST PMT-03 order to re-credit the amount in Electronic Cash/Credit Ledger (if the amount was debited in the Electronic Cash/Credit Ledger at the time of filing refund application).

10. Provisional Refund Order in Form GST RFD-04 is available for which refund applications?

Provisional Refund Order in Form GST RFD-04 is available in case of the following refund applications:

Refund on account of Export of Services with Payment of Tax

Refund on account of Export of Goods/ Services without Payment of Tax

Refund on account of Supplies made to SEZ Unit/ SEZ Developer (With Payment of Tax)

Refund on account of Supplies made to SEZ Unit/ SEZ Developer (Without Payment of Tax)

11. I have received an intimation that Bank Account validation has failed. What do I need to do now?

In case of failed Bank Account validation, login to the GST Portal with your ARN. Navigate Services > Refunds > Track Application Status > Enter ARN. Click on the UPDATE BANKACCOUNT button in the Bank Validation Status column. Click here to learn more about how to update the Bank account.

12. What is the time frame for an applicant to apply for an extension of the due date for replying to SCN or adjourning the personal hearing?

Once the show cause notice has been issued by the tax officer and the date of the personal hearing has been fixed, a request for extending the due date for replying to SCN or adjourning the personal hearing can be requested/initiated by the taxpayer within 20 days from the date of issuance of SCN, if the order is not issued yet. This means that after the expiry of 15 days, the taxpayer still can apply for an extension, within the next 5 days, left from the date of issuance of SCN (20 -15 = 5 days), if the order is not issued till then. Once the order for this ARN is issued, the taxpayer will not be able to apply for the extension.

13. Can the taxpayer apply for an extension of the due date for replying to SCN or adjourning the personal hearing if the order for this ARN has been issued? 1. 

Once the order for this ARN has been issued by the tax officer, the taxpayer will not be able to apply for an extension of the due date for replying to SCN or adjourning the personal hearing.

14. Can the taxpayer file the reply of SCN, in case he/she has already applied for the extension of the due date for replying to SCN or adjourning the personal hearing, which is still pending for response from the Tax Official?

Yes, the taxpayer can file the reply of SCN, in case he/she has already applied for the extension of the due date for replying to SCN or adjourning the personal hearing and the request is still pending for response from the Tax Official.

15. What will happen If the reply to SCN has already been submitted by taxpayer before any response from the tax officer for an extension/adjournment request?

If the reply to the SCN has already been submitted by the taxpayer before any response from the tax officer for an extension/adjournment request, the Tax officer will not be able to act upon the request for extension/adjournment.

16. From where can I apply for an extension of the due date for replying to SCN or adjourning the personal hearing?

Login to the GST Portal. Navigate to Dashboard > Services > User Services > My Applications > Select Refund > Select From/To Date > Click Search > Click ARN hyperlink > CASE DETAILS > NOTICE/ACKNOWLEDGEMENT > Due date of Reply (if applicable) Column > Click the Adjournment request for PH And /OR Extension Request for SCN reply hyperlink to apply for the extension of due date for replying to SCN or adjourning the personal hearing.

17. How many times can a taxpayer apply for an extension of the due date for replying to SCN or adjourning the personal hearing?

The taxpayer can apply up to three times for the extension of the due date for replying to SCN or adjourning the personal hearing.

18. From where can I submit the undertaking for PMT-03 for an inadmissible amount?

Login to the GST Portal. Navigate to Dashboard > Services > User Services > My Applications > Select Refund > Select From/To Date > Click Search > Click ARN hyperlink > CASE DETAILS > ORDERS > Document Column > Click the Undertaking for PMT-03 for inadmissible amount hyperlink to submit the undertaking for PMT-03for inadmissible amount. 

Note: After clicking the hyperlink, the taxpayer needs to enter the amount and not to select the check box for filing nil PMT-03. 

19. From where can I see the already applied request for the extension of the due date for replying to SCN or adjourning the personal hearing?

Login to the GST Portal. Navigate to Dashboard > Services > User Services > My Applications > Select Refund > Select From/To Date > Click Search > Click ARN hyperlink > CASE DETAILS > REPLIES/UNDERTAKING/REQUEST tab to see the already applied request for the extension of due date for replying to SCN or adjourning the personal hearing.

20 .From where can I see the already submitted undertaking for PMT-03 for an inadmissible amount?

Login to the GST Portal. Navigate to Dashboard > Services > User Services > My Applications > Select Refund > Select From/To Date > Click Search > Click ARN hyperlink > CASE DETAILS > REPLIES/UNDERTAKING/REQUEST tab to see the already submitted undertaking for PMT-03 for inadmissible amount.

21. From where can I see the response shared by the Tax Official for the request for the extension of the due date for replying to SCN / Adjourning the personal hearing / Request submitted for undertaking for PMT-03 for an inadmissible amount?

Login to the GST Portal. Navigate to Dashboard > Services > User Services > My Applications > Select Refund > Select From/To Date > Click Search > Click ARN hyperlink > CASE DETAILS > REPLIES/UNDERTAKING/REQUEST tab > Click icon () under Document column (which will navigate you to Notice/Acknowledgement tab)to see the response shared by Tax Official for the request for the extension of due date for replying to SCN / Adjourning the personal hearing / Request submitted for undertaking for PMT-03 for inadmissible amount.

Conclusion

Timely and appropriate responses to GST notices are crucial in avoiding delays or rejections in the refund process. With tools and features available on the GST portal—such as reply submissions, extension requests, and tracking mechanisms—taxpayers have greater control and clarity over their refund claims. By staying informed and proactive, you can ensure compliance and secure rightful refunds without unnecessary complications. Bookmark this guide for a quick reference whenever you're navigating refund-related queries or procedural requirements.

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