Delhi government distributes GST refunds worth ₹694 crore to traders ahead of Diwali

Traders in Delhi have started receiving GST refunds pending from 2019, after Chief Minister Rekha Gupta-led government has made the payment. Rs 694 crore out of total payment due Rs 1,600 crore before Diwali.

The distribution process of Goods and Services Tax (GST) refunds has gained record pace In the month of September alone, Rs 227 crore was paid, the highest monthly figure in the city’s GST refund history, Chief Minister Gupta said in a statement on Friday (October 10).

“It is our commitment to promote ease of doing business,” he said.

Officials said around Rs 1,600 crore was to be paid in GST refunds to city traders from 2019.

Traders in the national capital are not only benefiting from the cut in GST rates but are also set to celebrate a brighter and more prosperous Diwali, Gupta said.

“The Delhi government is committed to ensure that every small or big trader gets his GST refund within the stipulated time frame,” he said.

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The Chief Minister highlighted that since the beginning of this financial year, his government has been systematically working to streamline the GST refund process for traders. The Trade and Tax Department has so far resolved a total of 7,375 refund applications and transferred a record Rs 694 crore to traders.

The Chief Minister lauded the team of the Trade and Tax Department and said that its officials are using modern technology to expedite refunds, ensuring that the pending amount is credited directly into the bank accounts of traders expeditiously.

He claimed that the previous government in Delhi “did not take the issue of GST refunds seriously”, which led to a huge backlog.

However, his Government dealt with the matter with due diligence and to make the refund settlement process faster and more transparent, the Trade and Tax Department has developed an advanced IT module based on data analytics, data automation and rapid verification mechanism in collaboration with IIT Hyderabad.

“Our endeavor is to ensure that adequate refund amounts reach the business community by Diwali, further strengthening their faith in the government and making their festive celebrations even more joyous,” he said.

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He said, the Delhi government, inspired by the vision of Prime Minister Narendra Modi, is working sincerely to promote policies that ensure ease of doing business through steps such as preparation of redevelopment plans for key markets of the city and formation of Delhi Traders Welfare Board to address issues faced by the business community.