Section 54 of the CGST Act — Refund — The appellant filed a refund claim on account of supply of goods to SEZ Unit without payment of tax. The appellant was issued SCN dated 2-12-2020 proposing rejection of the refund. The adjudicating authority vide impugned order held that the refund is inadmissible to the appellant on the ground that HSN of goods supplies is still not registered ; the claimant could not establish through his submission regarding supply of similar goods domestically as well as under zero rated. Being aggrieved the appellant filed the present appeal. The authority observed that so far as claim of refund is concerned, there is no dispute on the issue of non supply of goods or non receipt of goods by SEZ units or non payment of tax. In such a scenario, the reason of non registration of HSN taken as a ground for rejection of refund cannot be considered as a cogent and sustainable reason to deny substantive benefit due to the appellant. The appellant has complied with the grounds raised in the impugned order.

Held that:- The Hon’ble authority allowed appeal restoring their entitlement for refund, subject to verification of invoices issued for supply made to SEZ unit and supply made in domestic market.