Payment of GST against outward supplies of July'17

[MohanLal tiwari]

As per yesterday's GSTN webinar, transitional credit will be available for July only after filing trans forms and not through GSTR-3b. Since GSTR-1 & 2 is not yet uploaded on GST portal, while consulting with the local GST authority, they are asking for payment of total payable GST of July in cash without adjusting ITC for the month and Cenvat carried forward.

Kindly advise for payment of GST for the month of July after adjusting ITC & cenvat.

[Deepak Garg]

AS PER LAW GST WOULD BE PAYABLE FOR THE MONTH OF JULY AND NO ITC BROUGHT FORWARD WILL BE ADJUSTED WITHOUT TRANS-1

[Ganeshan Kalyani]

In Form GSTR 3B , ITC column is provided where we need to show ITC on purchases during the month of July under GST. The eligible ITC is eligible for credit. Balance need to be paid in cash.

Closing credit balances as per VAT/ excise/ service tax return will not be carry forwarded in the for 2 months. This in my view only after filing of TRAN 1 the credit will be carry forwarded.

[MohanLal tiwari]

Dear Mr Garg,

The proposed Ruling as mentioned in your reply is already quoted, my query was why one should make payment of GST for outward supplies of July having sufficient ITC against inward supplies of July & cenvat credit of June & earlier. Do we have any other option except for going to court of justice.

[MohanLal tiwari]

I do agree with opinion of Kalyani Ji but how far it is acceptable to deptt for utilizing ITC without filing of GSTR-1, 2 & 3..

[KIRTIKUMAR PUROHIT]

I do agree with Mohanlal Tiwariji, but Due to non providing TRANS-1 in Common Portal By Authority its not fault of GST Reg. Person why we bare this but we are help less YOU CAN FILE PIL TO HIGH COURT TO GET OUR RIGHT.

[Nash Industries I Pvt Ltd]

Had discussed the issue with the AC of GST yesterday. Am told by the officer that they have taken up the matter with GST and he expects the clarification would come before filing GSTR 3B.

Regards

S,Ramaswamy

AI Summary

Transitional credit availability requires filing TRAN-1 before adjusting carried forward ITC; cash payment may be demanded otherwise. Transitional credit cannot be adjusted against opening-month outward supplies until the prescribed transmission form, TRAN-1, is filed and processed; GSTR-3B permits declaration of current-period ITC but does not carry forward legacy VAT/excise/service-tax credits. Pending portal processing, tax authorities may require cash payment of GST liabilities despite taxpayers holding eligible inward GST month credits and prior cenvat balances, leaving registrants to seek administrative clarification or judicial relief where appropriate.