Section 55 of CGST Act - Refund in Certain Cases
Section 55 of the Central Goods and Services Tax Act, 2017 empowers the Government, on the recommendations of the GST Council, to notify specified bodies and persons who may claim refund of GST paid on notified inward supplies, subject to prescribed conditions and restrictions.
Updated: 15 September 2026
Text and meaning of Section 55
Section 55 - Refund in certain cases. The Government may, on the recommendations of the Council, by notification, specify any specialised agency of the United Nations Organisation or any Multilateral Financial Institution and Organisation notified under the United Nations (Privileges and Immunities) Act, 1947, Consulate or Embassy of foreign countries and any other person or class of persons as may be specified in this behalf, who shall, subject to such conditions and restrictions as may be prescribed, be entitled to claim a refund of taxes paid on the notified supplies of goods or services or both received by them.
In practical terms, Section 55 is a special refund provision. It does not create a general refund right for every registered person. Instead, it authorises the Central Government to identify eligible organisations or classes of persons and to prescribe the supplies, conditions and procedure for obtaining the refund.
Who can claim refund under Section 55?
Notification No. 16/2017-Central Tax (Rate), dated 28 June 2017, specifies the United Nations or a specified international organisation, and foreign diplomatic missions or consular posts in India, including eligible diplomatic agents or career consular officers posted in them, subject to the conditions stated in the notification.
| Category | Broad requirement |
|---|---|
| United Nations / specified international organisation | Refund is linked to supplies used or intended for official use and is subject to the certificate and other applicable conditions. |
| Foreign diplomatic mission or consular post | Eligibility is governed by the certificate issued by the Protocol Division of the Ministry of External Affairs and the principle of reciprocity. |
| Eligible diplomatic agents / career consular officers | Refund depends on the applicable reciprocity certificate and the conditions governing official or permitted personal use. |
| Other notified persons or classes | Section 55 also permits the Government to notify additional persons or classes, subject to the relevant notification. |
For Notification No. 16/2017-Central Tax (Rate), the expression broadly refers to an international organisation declared by the Central Government under section 3 of the United Nations (Privileges and Immunities) Act, 1947, to which the provisions of the Schedule to that Act apply.
Rule 95 of the CGST Rules - refund procedure
Rule 95 of the Central Goods and Services Tax Rules, 2017 contains the specific procedure for persons eligible under a notification issued under Section 55. The eligible person applies for refund in FORM GST RFD-10 once in every quarter through the common portal, together with the prescribed statement of inward supplies in FORM GSTR-11.
Rule 95 also requires the inward supplies to satisfy the prescribed invoice and identification requirements. The applicant's name and GSTIN or UIN, as applicable, must be reflected in the tax invoice, and the conditions in the relevant notification must be met. The sanction and payment mechanism under Rule 92 applies, with necessary modifications, to refunds under Rule 95.
Unique Identity Number (UIN)
Entities covered by the special regime are generally identified through a Unique Identity Number under the GST framework. UIN enables notified diplomatic and international bodies to be identified for their inward supplies and refund claims. Suppliers should record the correct UIN on invoices wherever required so that the recipient's refund documentation remains consistent.
Refund to Canteen Stores Department (CSD)
Section 55 is also used for the special refund available to the Canteen Stores Department. Notification No. 06/2017-Central Tax (Rate), dated 28 June 2017, provides for refund of 50% of the central tax paid by CSD on specified inward supplies of goods received for the purposes covered by the notification. Corresponding provisions exist for applicable integrated tax and Union territory tax.
This CSD mechanism is distinct from the diplomatic and international-organisation refund under Notification No. 16/2017-Central Tax (Rate). The claimant should therefore apply the notification relevant to its own category rather than treating all Section 55 refunds as identical.
Important notifications and clarifications
| Reference | Relevance |
|---|---|
| Notification No. 16/2017-Central Tax (Rate), 28 June 2017 | Notifies specified UN/international organisations and foreign diplomatic or consular entities for refund under Section 55, subject to conditions. |
| Notification No. 06/2017-Central Tax (Rate), 28 June 2017 | Provides the notified 50% CGST refund mechanism for CSD on specified supplies. |
| Rule 95, CGST Rules, 2017 | Prescribes the special refund procedure, including FORM GST RFD-10 and the statement in FORM GSTR-11. |
| Circular No. 68/42/2018-GST, 5 October 2018 | Clarifies the availability of refund of Compensation Cess to specified UN/international organisations and diplomatic entities, subject to the applicable conditions. |
Section 55 in the scheme of Chapter XI
Section 55 sits within Chapter XI of the CGST Act dealing with refunds. For the general refund provision, see Section 54 - Refund of Tax. For interest where an eligible refund is delayed, see Section 56 - Interest on Delayed Refunds. The following provisions deal with the Consumer Welfare Fund under Section 57 and utilisation of the Fund under Section 58.
Key takeaway
Section 55 is an enabling provision for targeted GST refunds. Eligibility depends on the claimant falling within a notified category and complying with the conditions of the relevant notification and the procedure prescribed by the CGST Rules. For diplomatic missions and specified international bodies, Rule 95 and Notification No. 16/2017-Central Tax (Rate) are central to the refund process; CSD claims operate under their separate notified framework.
This page is an explanatory legal reference. For a live filing or refund claim, verify the latest statutory text, notification, circular and GST portal requirements applicable to the relevant tax period and claimant.