itc claim under wrong head

[giri gattupalli]

respected sir,

one registered person during FY 2017-18 claimed 5,00,000 less input tax credit under IGST head and claimed 5,00,000 excess input tax credit under CGST & SGST heads and utilized also. . it was happed due to clerical mistake. and now notice has been issued asking to pay excess claim of input tax taken under CGST & SGST heads but silent on less claim of IGST. and department asking for interest also. how to deal with this situation. i invite our experts opinion and discussion.

thanking you

AI Summary

Taxpayer Mistakenly Claims Excess ITC Under Wrong Heads, Faces Repayment Demand: Legal Opinions Suggest Defense as Technical Error A registered taxpayer mistakenly claimed excess input tax credit (ITC) under the CGST and SGST heads instead of the IGST head during the fiscal year 2017-18, resulting in a notice demanding repayment and interest. The taxpayer sought advice on addressing this issue. Responses suggested providing evidence of the error and defending the claim as a technical mistake. Legal opinions varied, with some advising litigation, including potential appeals to higher courts. Previous court rulings were referenced, indicating mixed outcomes. The discussion highlighted the complexity of rectifying such errors and the potential for prolonged legal proceedings.