Limitation period for Recovery of amount under Section 79

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....imitation period for Recovery of amount under Section 79<br> Query (Issue) Started By: - Pooja Agarwal Dated:- 31-8-2025 Last Reply Date:- 2-9-2025 Goods and Services Tax - GST<br>Got 7 Replies<br>GST<br>Dear Experts, Please guide if there is any limitation period for recovery of interest amount under section 79 as well. In our case the department proposes to recover the interest for FY 2017-18 u....

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..../s 79 of the act vide notice (DRC 01D) dt. 01.07.2025&nbsp; We do not agree to the interest demand, as the amount was available in Electronic Cash Ledger and only the return was filed after the due date (with late fee); there are various legal precedents in our support and the law has been amended as well, however neither the department is accepting our submissions nor the department not issuing ....

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....SCN DRC 01A or DRC 01 (despite specific request), and has issued present DRC-01D. Please guide Reply By Rajan Kumar and associates: The Reply: The Proper officer issued DRC 01D as per Rule 142B of CGST Rules, 2017, which is a correct method. He need not to issue DRC-01 for the recovery of Interest. I hope the liability arises due to self assessed liability. Reply By KASTURI SETHI: The Reply: ....

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....Interest is automatic in this scenario.Regarding various precedents, each case has different facts & circumstances. Read the meaning of&nbsp; &nbsp;"self-assessment" deeply. Reply By VENU K: The Reply: The Gujarat High Court, in Reliance Formulation Private Limited vs Assistant Commissioner of State Tax & Anr, -&nbsp;2025 (7) TMI 1066 - GUJARAT HIGH COURT has held in the matter of interest recov....

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....ery that issue of DRC 01D is mandatory. The court has also held that&nbsp; As per Section 50(1) of the GST Act, interest is payable on delayed payment of self-assessed tax, and such interest must be calculated in accordance with Rule 88B of the GST Rules. If there is a dispute about the amount of interest demand then it needs to be adjudicated. Only Courts will be able to help you in my opinion.....

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.... DRC 01D will go for recovery after 7 days as per Rule 142B. &nbsp; Reply By KASTURI SETHI: The Reply: In this scenario, the self-assessment&nbsp;statutorily chains&nbsp;the assessee for payment of interest under Section 79 of CGST Act. Reply By Sadanand Bulbule: The Reply: Limitaion applies to raising of demand under Section 73/74/74A. But not for recovery of arrears under Section 79. Reply....

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.... By KASTURI SETHI: The Reply: Dear Sir Ji, Message is as clear as sunshine. How Sections i.e. 79 AND 73/74/74A operate discretely&nbsp;has been explained in a lucid style.&nbsp; &nbsp;&nbsp; Reply By Sadanand Bulbule: The Reply: Sirji, much obliged by your hypnotic inspirational words.&nbsp;<br> Discussion Forum - Knowledge Sharing ....