https://www.taxtmi.com/forum/issue?id=118969 Amendment narrowed the transit detention/confiscation levy to a penalty or fine, distinct from tax on supply; therefore such penalty may fall outside the input tax credit denial, although where detention/confiscation leads to a separate tax demand under general assessment provisions the denial rule may still apply. Practitioners differ: some treat the provisions as interwoven so that subsequent tax demands trigger credit denial, while others view the penalty as non tax and thus not subject to the credit denial, subject to factual determination whether tax was in fact paid during enforcement. en-us Wed, 07 Feb 2024 19:35:30 +0530 Fri, 24 Jan 2025 10:40:24 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=118969 Amendment narrowed the transit detention/confiscation levy to a penalty or fine, distinct from tax on supply; therefore such penalty may fall outside the input tax credit denial, although where detention/confiscation leads to a separate tax demand under general assessment provisions the denial rule may still apply. Practitioners differ: some treat the provisions as interwoven so that subsequent tax demands trigger credit denial, while others view the penalty as non tax and thus not subject to the credit denial, subject to factual determination whether tax was in fact paid during enforcement. Discussion-Forum GST Wed, 07 Feb 2024 19:35:30 +0530 https://www.taxtmi.com/forum/issue?id=118969