Itc availed in wrong head
This query is : Resolved
17 March 2019
Respected Experts,
We have wrongly availed ITC of Rs. 4112 as IGST in m/o of July-2018 instead
of Rs. 2056 as CGST & Rs. 2056 as SGST. Today we found this correction.
Sir, We are manufacturer of Footwear & we have sufficient balance of GST in Credit Ledger
in all the months of 2018-19.
Sir, my query is that can we adjust this correction in the m/o Feb-2019 by taking less IGST Rs. 4112
and add CGST & SGST by Rs. 2056 each or we have to deposit IGST through cash ledger with interest.
Please advise sir.
Regards,
Rakesh Sharma
We have wrongly availed ITC of Rs. 4112 as IGST in m/o of July-2018 instead
of Rs. 2056 as CGST & Rs. 2056 as SGST. Today we found this correction.
Sir, We are manufacturer of Footwear & we have sufficient balance of GST in Credit Ledger
in all the months of 2018-19.
Sir, my query is that can we adjust this correction in the m/o Feb-2019 by taking less IGST Rs. 4112
and add CGST & SGST by Rs. 2056 each or we have to deposit IGST through cash ledger with interest.
Please advise sir.
Regards,
Rakesh Sharma
17 March 2019
You need to pay CGST & SGST thru cash ledger and claim refund of wrongly paid IGST
When Intra-State Sale is Wrongly Treated as Inter-State Sale
This scenario occurs when a taxable person pays IGST on an intra-state supply transaction which he has mistakenly treated as an inter-state supply. Ideally, for an intra-state supply, the tax collected should be CGST/SGST instead of IGST.
To rectify the situation, the person concerned will have to pay CGST/SGST and get the refund of the amount paid as IGST.
Note: No interest will need to be paid when the taxpayer pays the correct tax later on. Penalty will not apply in these scenarios.
When Intra-State Sale is Wrongly Treated as Inter-State Sale
This scenario occurs when a taxable person pays IGST on an intra-state supply transaction which he has mistakenly treated as an inter-state supply. Ideally, for an intra-state supply, the tax collected should be CGST/SGST instead of IGST.
To rectify the situation, the person concerned will have to pay CGST/SGST and get the refund of the amount paid as IGST.
Note: No interest will need to be paid when the taxpayer pays the correct tax later on. Penalty will not apply in these scenarios.
18 March 2019
Thanks for your prompt reply Mam, but actually my query is little differ. My Output GST is OK and ITC Adjustment is also OK. We are footwear manufacturer & always have sufficient GST in Credit Ledger. So there is no question of SHORTFALL & Deposit GST.
Although we have AVAILED GST in wrong head.
So please guide me on the basis of above clarification.
Regards,
Rakesh Sharma
Although we have AVAILED GST in wrong head.
So please guide me on the basis of above clarification.
Regards,
Rakesh Sharma
18 March 2019
In that case , u can rectify mistake of 3B in subsequent month return ( 3B)
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