PAYMENT OF EXCESS REFUND

[SURYAKANT MITHBAVKAR]

We are making payment of excess refund (Export-ITC) through DRC-03

Can we make payment without interest by debiting our credit ledger or we have to make payment only in cash ledger.

Please note that earlier we have received excess refund from SGST in our Bank Account.

AI Summary

Repayment of excess GST refund: tax can use credit ledger, but interest and penalties must be paid from cash ledger.
Tax principals repaid for an excess GST refund via DRC-03 may be debited from either the Electronic Credit Ledger or the Electronic Cash Ledger, whereas interest and penalty amounts must be discharged from the Electronic Cash Ledger; where the excess refund was received in cash, repayment in cash is regarded as the appropriate method under the statutory repayment framework.