CBIC extends alternate mechanism facility for exporters to claim refund in case of invoice mismatch

The government has extended the alternate mechanism facility for exporters to claim IGST refunds in cases of mismatch in invoice number in GST returns and shipping bill filed with customs till December 31, 2019.

"Considering that the entire country is facing unprecedented challenges due to the COVID-19 pandemic, and that the exporters are facing genuine hardships due to the SB005 errors, it has now been decided to extend the facility of SB005 error correction in the Customs EDI (Electronic Data Interchange) system for shipping bills with date up to December 31, 2019," the Central Board of Indirect Taxes and Customs (CBIC) said in a circular.

SB005 is an error shown for mismatch between invoice number in shipping bill and in GSTR-1, due to which the refund gets stuck.

AMRG & Associates Senior Partner Rajat Mohan said online rectification of error is not always feasible due to which the department had given an alternative mechanism with a officer interface for temporary relief.

Initially, this mechanism was only available for shipping bills filed till December 31, 2017. But, this has been extended time and again through a number of circulars and now with the recent circular, it is extended for shipping bills filed till December 31, 2019.

"The department has once again come under the pressure of the industry to allow officer interface in refunds," Mohan added.