Notification No. 39/2017 – Central Tax Explained

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Notification No. 39/2017 – Central Tax: Seeks to cross-empower State Tax officers for processing and grant of refund

GST: [To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i)]

G.S.R….(E).- In exercise of the powers conferred by sub-section (1) of section 6 of the Central Goods and Services Tax Act, 2017 (12 of 2017) (hereafter in this notification referred to as the “CGST Act”), on the recommendations of the Council, the Central Government

hereby specifies that the officers appointed under the respective State Goods and Services Tax Act, 2017 or the Union Territory Goods and Service Tax Act, 2017 (14 of 2017) (hereafter in this notification referred to as “the said Acts”) who are authorized to be the proper officers for the purposes of section 54 or section 55 of the said Acts (hereafter in this notification referred to as “the said officers”) by the Commissioner of the said Acts,

shall act as proper officers for the purpose of sanction of refund under section 54 or section 55 of the CGST Act read with the rules made thereunder except rule 96 of the Central Goods and Services Tax Rules, 2017, in respect of a registered person located in the territorial jurisdiction of the said officers who applies for the sanction of refund to the said officers.

(Dr. Sree Parvathy S.L.)
Under Secretary to the
Government of India

📚 Frequently Asked Questions (FAQs): Notification No. 39/2017 – Central Tax

Q1: What is Notification No. 39/2017 – Central Tax?

Answer:
Notification No. 39/2017 – Central Tax allows State GST officers to process and grant refunds under the CGST Act.
It was issued under Section 6(1) of the CGST Act to enable cross-empowerment between State and Central tax authorities.

Q2: What does cross-empowerment mean in GST?

Answer:
Cross-empowerment means that State and Central GST officers can perform functions under each other’s Acts.
This helps in faster processing of GST matters such as refunds.

Q3: Which sections of the CGST Act are covered under this notification?

Answer:
The notification applies to:
Section 54 – Refund of GST
Section 55 – Refund for special entities
These sections define eligibility and procedure for GST refunds.

Q4: Can State GST officers approve CGST refunds?

Answer:
Yes.
After Notification No. 39/2017 – Central Tax, State GST officers can act as proper officers for granting CGST refunds.

Q5: Are export refunds covered under this notification?

Answer:
No.
Export refunds processed under Rule 96 of the CGST Rules are excluded from this notification.
These refunds are handled through customs authorities.

Q6: What types of GST refunds are allowed under Section 54?

Answer:
Refunds may include:
Excess tax paid
Export refunds
ITC refunds
Inverted duty structure refunds
Businesses must file refund applications on the GST portal.

Q7: How can businesses apply for GST refunds?

Answer:
Businesses must file FORM GST RFD-01 on the GST portal along with supporting documents.
Professional assistance can help ensure faster processing.

Q8: What documents are required for GST refund claims?

Answer:
Common documents include:
GST invoices
Purchase records
Export documentation
Tax payment proof
GST return details

Q9: What is the time limit to claim GST refund?

Answer:
Generally, GST refunds must be claimed within two years from the relevant date under Section 54 of the CGST Act.

Q10: What happens if GST refunds are delayed?

Answer:
If refunds are delayed beyond the prescribed period, taxpayers may be entitled to interest under Section 56 of the CGST Act.

Q11: Can small businesses claim GST refunds?

Answer:
Yes.
Small businesses may claim refunds in cases such as:
Excess tax payment
Export supplies
Input tax credit accumulation
To manage refunds properly, businesses can use Finodha GST Compliance services:
https://finodha.in/gst-compliance/

Q12: Does GST refund affect income tax filing?

Answer:
GST refunds generally do not affect income tax directly, but proper accounting is necessary for financial reporting.
For tax compliance support, explore Finodha ITR Filing services:
https://finodha.in/income-tax-return-filing-online/

Q13: Can startups claim GST refunds?

Answer:
Yes.
Startups exporting goods or accumulating ITC can claim GST refunds.
If you are starting a company, explore Finodha Private Limited Company Registration:
https://finodha.in/private-limited-company/

Q14: How long does GST refund processing take?

Answer:
Normally, GST refunds should be processed within 60 days after filing the refund application.
If delayed, interest may be payable by the government.

Q15: Where can businesses get help with GST refunds?

Answer:
GST refund procedures can be complex.
Businesses can consult professionals through Finodha GST Compliance services:
https://finodha.in/gst-compliance/
Experts help with:
Refund applications
GST return filing
Compliance management