VATupdate

Share this post on

Interest on delayed payment of refund is applicable after three months of receipt of application as per the statutory provisions

The Bombay High Court1 hold that if an application for refund is made, the same is required to be adjudicated within three months of receipt of the application. However, if the refund is granted after three months of receipt of the application, then the applicant would be entitled to interest on such delayed refund as a matter of right.

The interest would cover the period from the date immediately after expiry of the period of three months from the date of receipt of the application till the date of payment of the refund.

Source BT Associates

Sponsors:

VAT news
VAT news

Advertisements: