Section 54 of the CGST Act, 2017 — Refund – The Petitioner challenged an order dated 06.04.2022 vide which the respondent has rejected a refund claim on the ground that supplies have been made to 100% EOU. Against the refund order rejection, writ petitioner has a remedy of an appeal but the prescribed time is three months and the condonable time limit is one month. The counsel for petitioner submitted that in the interregnum, the writ petitioner has filed a second refund application on 12.07.2022 which falls within the condonable period. The court observed that the case of the writ petitioner qua refund of a little over 9.42 lakhs is they have made deemed export as supply has been made to a 100% EOU but the refund order dated 06.04.2022 proceeds on the basis that it is a wrong ITC claim. It would now be in the hands of the Appellate Authority to decide the matter on its own merits and in accordance with law.

Held that:- The Hon’ble High Court directed the petitioner to refile the second refund application (already filed) as appeal. The Appellate Authority shall construe the appeal to have been presented on 12.07.2022 which is the date of second refund application and proceed with the appeal on its own merits and in accordance with law and dispose of the appeal within six weeks i.e. on or before 01.02.2023.