TaxTMI 
TaxTMI 
ITC wrongly availed
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....TC wrongly availed<br> Query (Issue) Started By: - Ankit TMI Dated:- 5-6-2018 Last Reply Date:- 8-6-2018 Goods and Services Tax - GST<br>Got 8 Replies<br>GST<br>What are the interest and penal liability in case a supplier has wrongly availed CGST / SGST credit against IGST. However, the same has been reversed before utilisation. Kindly quote specific section that affects the said scenario. Thanks....
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.... Reply By YAGAY and SUN: The Reply: If interest @24% is paid along with reversal of ITC which was wrongly availed before issuance of SCN then there would be no penal actions initiated by the Department. Reply By Ankit TMI: The Reply: Thanks you sir for your response. Can you please help me out with exact provision which levy interest in such a scenario. Is your reply is in context of mismatch ....
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....under Section 42 and Interest under section 50. Reply By YAGAY and SUN: The Reply: Our reply is in context with Section 50 of the CGST Act. Reply By Mahadev R: The Reply: Interest can be paid at 18% instead of 24%. Section 50(3) which states about excess or wrong claim of credit is applicable when 42(10 or Section 43(10) triggers. Presently there is no matching concept. So pay 18%. If there is....
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.... subsequent demand, then we could pay differential 6% or litigate. there is no interest for delayed payment of interest Reply By YAGAY and SUN: The Reply: We endorse the view of Mr. Mahavir. Reply By Ankit TMI: The Reply: Thanks for your time and valuable opinion. I analysed the provision thoroughly. However, i am unable to find an iinterpretation werein itc wronlgy availed but not utilised i....
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....s subjected to levy of interest. It merely covers three scenario: first, tax payable has been paid belatedly, second, mismatch u/s 42, third, mismatch u/s 43. Thus i dont feel that interets in the present scenario could be levied Reply By YAGAY and SUN: The Reply: If you avail & reverse ITC then you would have to mention it in return and hence, Interest would be payable, accordingly. Reply By K....
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....ASTURI SETHI: The Reply: Peruse Section 42(10), Section 43 (10), Section 50(3) along with Notification No.13/17-CT, dated 28.6.17 and 9/17 -CT dated 28.6.17 effective from 1.7.17.<br> Discussion Forum - Knowledge Sharing ....