Differntial rates

[Arun Aggarwal]

Sir

I am a manufacturer ragistered dealer

with the arrival of the rates of GST, a strange position has occured

The GST rates are much lower than Excise rates prevailing today

Pls advice the treatment of the input balance at the the time of sale under GST of the finished goods stocks , as that can never be adjusted if I carry forward the input even indefinately.

Arun

AI Summary

Refund of unutilized input tax credit is available but may be withheld for return defaults or unpaid tax liabilities.
A registered manufacturer may claim refund of unutilized input tax credit under Section 54(3) of the CGST Act, subject to Section 54(10) which allows withholding of refund where the claimant has defaulted on returns or has outstanding tax, interest or penalty liabilities; excess credit cannot be adjusted against future payments. Anti profiteering details are not yet provided.