The CBIC has amended Rule 94 vide Notification No. No. 38/2023- Central Tax dated 04.08.2023
In the said rules, rule 94 shall, with effect from the 1st day of October, 2023, be renumbered as sub-rule (1) and after the sub-rule as so renumbered, the following sub-rule shall be inserted, namely:-
"(2) The following periods shall not be included in the period of delay under sub-rule (1), namely:-
(a) any period of time beyond fifteen days of receipt of notice in FORM GST RFD-08 under sub-rule (3) of rule 92, that the applicant takes to-
(i) furnish a reply in FORM GST RFD-09, or
(ii) submit additional documents or reply;
And
(b) any period of time taken either by the applicant for furnishing the correct details of the bank account to which the refund is to be credited or for validating the details of the bank account so furnished, where the amount of refund sanctioned could not be credited to the bank account furnished by the applicant."
Analysis:
The following periods shall not be included in the period of delay for sanctioning interest on delayed refunds under Section 94 (1), namely:-
(a) any period of time beyond fifteen days of receipt of notice in FORM GST RFD-08 under sub-rule (3) of rule 92, that the applicant takes to-
(i) furnish a reply in FORM GST RFD-09, or
(ii) submit additional documents or reply;
And
(b) any period of time taken either by the applicant for furnishing the correct details of the bank account to which the refund is to be credited or for validating the details of the bank account so furnished, where the amount of refund sanctioned could not be credited to the bank account furnished by the applicant."
