Case Law Analysis
|Bombay High Court
IGST Act Section 54 | Interest Mandatory on Refund of Zero-Rated Supplies Even After Principal Amount Paid : Bombay HC
The Bombay High Court has ruled that payment of the principal IGST refund amount does not discharge the statutory obligation to pay interest under Section 54 of the IGST Act. This clarifies that non-payment of interest constitutes contempt of court where previously ordered, reinforcing strict compliance with statutory refund timelines for exporters and zero-rated suppliers.