Availment of wrongly charged GST Read more at: https://www.caclubindia.com/experts/browse.asp

[Guest]

I am a registered person in Maharashtra and for business purpose had travelled to Karnataka and stayed in hotel. The hotel charged IGST instead of CGST + SGST. Now the department audit is conducted and the officers are denying the availment of IGST paid by me. Whether, the officers are right ?, if yes, than by which section they can invoke to disallow my availment of IGST?

[Shilpi Jain]

This matter lacks clarity and the department tries to put through what it considers is right. For the taxpayer, the matter will have to travel upto supreme court to get settled.

[Shilpi Jain]

Also important point to note in this is what is the place of supply mentioned by the hotel? Is it your own State?

AI Summary

Place of supply determines IGST vs CGST/SGST, affecting input tax credit entitlement on hotel services during interstate travel Whether a registered taxpayer may claim input tax credit for tax billed as IGST on hotel accommodation hinges on the hotel's invoiced place of supply: if treated as interstate, IGST is chargeable and creditability follows input tax rules, whereas an intrastate supply would attract CGST and SGST; auditors denying availment usually contest the correctness of tax charged, so documentary proof of place of supply is critical to support the credit claim.