Patna HC directs GST Refund after withdrawal of Assessment

The Patna High Court, directed the GST authorities to refund the amount recovered pursuant to a best judgment assessment, provided the assessment order had in fact been withdrawn and the amount had not already been recredited to the taxpayer. 

The Court also permitted the petitioner to file a physical refund application within two weeks. The ruling reinforces that once the foundation of a tax recovery ceases to exist, the consequential recovery cannot ordinarily be retained by the Department.