Garment Exporter — Unlocking ₹84 Lakh in Blocked GST Refunds
An export-focused garment manufacturer had ₹84 lakh in IGST refunds stuck across eleven months of shipping bills. NDSA found the mismatch no one had looked for and released the cash over ten weeks.
Refunds stuck, working capital tightening
An export-focused garment manufacturer had ₹84 lakh in IGST refunds stuck across eleven months of shipping bills, with no clear answer from their existing consultant on why the claims kept getting rejected or returned with deficiency memos.
Working capital was tightening at exactly the wrong time — they had just signed a larger buyer in Germany and needed cash to fund the raw material for the first big order.
We pulled the full trail and found the real problem
We pulled the complete refund trail — shipping bills, GSTR-1, GSTR-3B, and the corresponding bank realisation certificates — and found the actual problem: a mismatch between the invoice value declared on shipping bills and the value reported in GSTR-1 for a handful of months, which was silently rejecting every refund linked to those periods.
We filed rectified returns, re-filed the refund applications with reconciliation statements attached, and followed up directly with the jurisdictional GST officer until each claim moved.
"Export refunds rarely get rejected without a reason — they get rejected for a specific, fixable mismatch that no one has gone looking for. NDSA goes looking."
₹84 lakh released — and future refunds protected
₹84 lakh was released over the following ten weeks, in three tranches, and the firm funded the German order without taking on a working capital loan they'd been quoted at over 13% interest.
We also set up a monthly shipping-bill-to-GSTR-1 reconciliation check so future refunds clear on the first pass instead of getting stuck for months.
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