https://www.taxtmi.com/article/detailed?id=16097 Wrongly availed transitional Input Tax Credit under GST may attract interest where the credit is retained for a prolonged period and non-utilisation is not proved by documentary evidence. The article explains that prolonged retention of inadmissible credit can create a liquidity benefit and justify compensatory interest, even where the taxpayer cites technical glitches or eventual reversal. It further states that GST interest is statutory and automatic, recovery may proceed without a separate show-cause notice, and interest must be paid in cash because ITC cannot be used for such dues. en-us Sat, 28 Mar 2026 08:58:17 +0530 Sat, 28 Mar 2026 08:58:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=16097 Wrongly availed transitional Input Tax Credit under GST may attract interest where the credit is retained for a prolonged period and non-utilisation is not proved by documentary evidence. The article explains that prolonged retention of inadmissible credit can create a liquidity benefit and justify compensatory interest, even where the taxpayer cites technical glitches or eventual reversal. It further states that GST interest is statutory and automatic, recovery may proceed without a separate show-cause notice, and interest must be paid in cash because ITC cannot be used for such dues. Articles Goods and Services Tax - GST Sat, 28 Mar 2026 08:58:17 +0530 https://www.taxtmi.com/article/detailed?id=16097