TaxTMI 
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TaxTMI 
Eligibility as ITC
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....ligibility as ITC<br> Query (Issue) Started By: - Bharat Cholleti Dated:- 18-10-2022 Last Reply Date:- 30-10-2022 Goods and Services Tax - GST<br>Got 6 Replies<br>GST<br>Dear sir, We got a supply of goods contract from APCPDCL (Electricity board), which supply got delayed, penalty imposed by the APCPDCL on that IGST was collected, Is supplier will be entitle to take ITC of IGST paid on penalty. p....
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....lease advise. Thanks in advance. Reply By KASTURI SETHI: The Reply: Such a situation is covered under Schedule-II in Clause 5 (e) but it will not be litigation-free. Reply By Bharat Cholleti: The Reply: Thanks for replying the query, In which way there will be litigation sir, as it is already notified as service under Sch II. Pls explain Reply By KASTURI SETHI: The Reply: The word,'pen....
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....alty' is not mentioned specifically in Clause 5 (e) of Schedule-II. Reply By Ganeshan Kalyani: The Reply: I agree with the views of Sri Kasturi Sir. Reply By Shilpi Jain: The Reply: The question I understand is not whether there is GST liability. The query is whether the SUPPLIER is eligible for ITC of tax paid on penalty.. As far as the SUPPLIER is concerned, once tax is assessed in the....
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.... the hands of APCPDCL and it has been paid tax, credit should be eligible to the supplier. Thereby, even if tax is not liable on the transaction as per the clarification in circular 178 and still it is paid, in my view credit should not be denied. Reply By Shilpi Jain: The Reply: Alternatively, the supplier can ask APCPDCL to refund the GST collected from supplier in the light of the circular 17....
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