Section 54 of the CGST Act, 2017--- Refund —- The petitioner submitted that they are entitled to a refund of Unutilized Input Tax Credit (UITC) for the period spanning between April 2020 and September 2020. A refund application was preferred in the form i.e., RFD-01 on 23.11.2020. But a notice of rejection concerning the refund application was issued, wherein it was indicated that there is a mismatch, to the extent of Rs. 23,344.20/-. A reply was filed on 22.01.2021, wherein the stand taken was, that to the extent of the mismatch, an adjustment should be made, and accordingly, the balance amount ought to be released to it. But the same rejected on 28.01.2021. The petitioner preferred an appeal, which was also dismissed by the appellate authority, via order dated 22.09.2021.

Held that:- The Hon’ble High Court directed the respondent to not join the proceedings on the next date fixed in the matter i.e., 05.04.2022, in case the stand taken by the petitioner is found viable, and a refund order, as sought, is issued in favour of the petitioner. If the entire amount or an amount more than the mismatch amount, as indicated above, is taken as being under a cloud, an affidavit will be filed by the respondents, which, inter alia, will advert to the reasons as to why such a stand is taken by the respondents. In that eventuality, the respondent will remain present in court on the next date fixed in the matter.