Refunds and Repayments
Statutory Basis: VAT Act §TBD (pending validation)
What statute says
The Value Added Tax Act, 2014 (as amended) permits refunds when input VAT exceeds output VAT and statutory eligibility conditions are satisfied. Where conditions are not met, excess input VAT is usually carried forward to future periods rather than immediately repaid. The April 2026 unprepared-food provision (per VAT (Amendment) (No. 2) Act, 2025, s. 2) added new refund-eligibility logic for affected sellers.
The specific sections governing refund eligibility and repayment obligations under the principal Act are pending PO/Julian validation under issue #110. This page will be updated once the authoritative sections are confirmed.
If a prior relief or refund position changes (for example, later payment on a written-off debt), businesses may need to repay or reverse the benefit in a subsequent return.
What platform does
CoralLedger Comply tracks return-period net positions, supports refund eligibility analysis tied to current reform rules, and preserves history of claims and adjustments. The platform helps users understand whether a period result appears refundable or likely to carry forward.
Related compliance dashboards highlight ratio-based thresholds and trend movement so teams can anticipate changes before filing.
Customer responsibility
You remain responsible for confirming legal eligibility for each refund claim and maintaining evidence required by the Department of Inland Revenue. If a repayment or reversal is required, customer teams must process it in the appropriate period and keep supporting notes.
For complex refund or repayment scenarios, validate treatment with your VAT advisor and then reflect that treatment consistently in Comply.