Restriction on electronic input tax credit use where credit appears ineligible, limiting debit until conditions are remedied. A new rule 86A authorises the Commissioner or an authorised officer to restrict debits from the electronic credit ledger where input tax credit appears fraudulently availed or ineligible on grounds such as invoices issued by non existent suppliers, absence of receipt of goods or services, tax on the supply not paid to government, claimant non existence or lack of required tax invoices. The restriction is recorded in writing, prevents use of equivalent credit for liability discharge or refunds, may be revoked when conditions are remedied, and expires after one year.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Restriction on electronic input tax credit use where credit appears ineligible, limiting debit until conditions are remedied.
A new rule 86A authorises the Commissioner or an authorised officer to restrict debits from the electronic credit ledger where input tax credit appears fraudulently availed or ineligible on grounds such as invoices issued by non existent suppliers, absence of receipt of goods or services, tax on the supply not paid to government, claimant non existence or lack of required tax invoices. The restriction is recorded in writing, prevents use of equivalent credit for liability discharge or refunds, may be revoked when conditions are remedied, and expires after one year.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 
Join Channel
TaxTMI 
