Validity of return: tax returns unpaid are not valid, barring input tax credit until tax liability is discharged. A return filed without payment of the tax is not a valid return; only a valid return can be used to allow input tax credit (ITC). ITC will not be confirmed unless the supplier has paid the self-assessed tax and the recipient has filed returns, and utilisation of credit is barred until the self-assessed tax liability is discharged.
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Validity of return: tax returns unpaid are not valid, barring input tax credit until tax liability is discharged.
A return filed without payment of the tax is not a valid return; only a valid return can be used to allow input tax credit (ITC). ITC will not be confirmed unless the supplier has paid the self-assessed tax and the recipient has filed returns, and utilisation of credit is barred until the self-assessed tax liability is discharged.
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