17 (5) GOODS DAMAGE & SCRAP SALE

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....7 (5) GOODS DAMAGE & SCRAP SALE<br> Query (Issue) Started By: - santosh yadav Dated:- 14-10-2021 Last Reply Date:- 20-10-2021 Goods and Services Tax - GST<br>Got 5 Replies<br>GST<br>Dear Professional, We had bought the goods 2 years back due to non-sales on time got spoiled which we sold in scrap should we refund the input tax of the value which is difference of scrap sale and purchase price Rep....

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....ly By KASTURI SETHI: The Reply: In my view, reversal is not required on the following grounds :- (i) Not hit by Section 17(5)(h) of CGST Act. The word. &#39;spoiled&#39; does not find place in this sub-clause. &quot;(h) goods lost, stolen, destroyed, written off or disposed of by way of gift or free samples; and (ii) Sale of scrap i.e. spoiled goods are covered in the phrase, &quot;used in the....

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.... course or furtherance of his business&quot; as per Section 16 (1) of CGST Act Reply By Shilpi Jain: The Reply: Agree with kasturi sir. Once goods sold with payment of tax, be it whatever value , ITC would be eligible. Reply By Ganeshan Kalyani: The Reply: No need to reverse the input tax credit as clarified by experts. Reply By RAMASWAMY Advocate: The Reply: yes, in my view the expert opini....

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....ons appear to be correct. Reply By KASTURI SETHI: The Reply: Sh.Ramaswamy Ji, Thanks for your concurrence with the views. I could not digest the word, &#39;appears&#39;. In my views, the word, &#39;appears&#39; contains the element of uncertainty. In other words, the absence of confirmation. Do you agree ? Your views please, sir.<br> Discussion Forum - Knowledge Sharing ....