Wrongful ITC utilisation attracts interest under Section 50(3); electronic credit ledger use excludes the cash-ledger proviso.

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....Section 50(3) governs interest where input tax credit is wrongly availed and utilised, and it prevails over the general rule in Section 50(1). The text states that the expression is not confined to fraudulent or bad-faith claims; any credit taken and used without entitlement falls within it. A mismatch between GSTR-3B and GSTR-2A may justify treating credit as ineligible, and Rule 88B(3) requires interest to be computed from utilisation until reversal or payment. Because the utilisation occurs through the electronic credit ledger, the cash-ledger limitation in Section 50(1) does not apply, and the levy of interest is sustained.....