https://www.taxtmi.com/forum/issue?id=118157 Whether payment to a third person on the supplier's direction satisfies the recipient's payment obligation under the second proviso of Section 16(2)(d) is disputed. Some treat such payments as effective discharges if the supplier acknowledges receipt; others warn tax authorities may view payment to a third party as failure to pay and seek reversal of input tax credit. Practical defenses include contemporaneous supplier declarations, ledger evidence and proactive communication with the tax authority; procedural constraints under Rule 37 and non-availability of prescribed reversal facilities are also noted. en-us Wed, 14 Sep 2022 22:10:05 +0530 Thu, 23 Jan 2025 15:54:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=118157 Whether payment to a third person on the supplier's direction satisfies the recipient's payment obligation under the second proviso of Section 16(2)(d) is disputed. Some treat such payments as effective discharges if the supplier acknowledges receipt; others warn tax authorities may view payment to a third party as failure to pay and seek reversal of input tax credit. Practical defenses include contemporaneous supplier declarations, ledger evidence and proactive communication with the tax authority; procedural constraints under Rule 37 and non-availability of prescribed reversal facilities are also noted. Discussion-Forum GST Wed, 14 Sep 2022 22:10:05 +0530 https://www.taxtmi.com/forum/issue?id=118157