GSTAT allows ITC refund despite same GST rate on output
In short
The GST Appellate Tribunal has said a refund can still be allowed under Section 54(3)(ii). This is true even when the main input and the finished product have the same HSN and the same GST rate, if other inputs were taxed higher.
This matters to taxpayers seeking input tax credit refunds. The reporting does not say which case was decided or how much money is involved.
What the reporting says
The GST Appellate Tribunal ruled that refund of accumulated input tax credit under Section 54(3)(ii) cannot be denied just because the principal inputs and finished goods fall under the same HSN and attract the same GST rate. The publisher summary says the decision still allows a refund when other eligible inputs are taxed at a higher rate. It is not stated in the available reporting which taxpayer case led to the ruling or the refund amount involved.
Why it matters
The GST Appellate Tribunal ruled that a refund of accumulated input tax credit under Section 54(3)(ii) cannot be denied solely because the principal inputs and finished goods share the same HSN and GST rate. The summary says the presence of other eligible inputs taxed at a higher rate remains relevant. The reporting does not identify the taxpayer, the product, or the refund size. The immediate effect is on GST refund claims.