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

Input tax credit misclassification may prompt recovery and interest but can be contested via rectification and appeals.
A registered person misclassified ITC between IGST and CGST/SGST, prompting a departmental notice for recovery and interest on excess CGST/SGST credit while remaining silent on the IGST shortfall. Primary defenses are invoice-wise reconciliations showing entitlement and that the error was a technical disclosure mistake. Procedural remedies include filing a rectification application under Section 161, pursuing appeals or writs, and relying on case-law where available, but outcomes vary and litigation can be protracted.