Filing of Monthly Refund applications by Quarterly Return filers
As of now, taxpayers filing returns quarterly can file refund application on quarterly basis only. The system validates whether the taxpayer has filed Form GSTR-1 and Form GSTR-3B for the corresponding period or not.
As the functionality for filing quarterly refund application was implemented in production recently and earlier these taxpayer were filing refund application on monthly basis, so when they were trying to file refund application for rest of the month of that quarter, tax payers were getting an error message that “Refund has already been applied for January/February 2017-18 in the selected period. Please update selection to exclude already filed periods”. Due to this error, the taxpayers who have already filed refund for say period Jan/Feb 2018 were not able to file refund application for March 2018.
Now, the restriction for applying refund on quarterly basis for quarterly return filers is removed, so that these tax payer would also be able to file refund application on monthly basis. This implies that the taxpayer can file monthly refund application, but Form GSTR-1 for the quarter must be filed.