30 May 2020
Can anyone please help me in getting solution to below query with appropriate notification or circular reference.
01. I have started project in 2013-14 and it has total of 36 flats & shops 02. I got OC in mid of 2017-18 03. 6 flats sold before OC received 04. Balance flats / shops sold after OC 05. By mistake I also availed ITC of input & input services received after getting OC which is still lying in electronic credit ledger.
I have query regarding: • How should I reverse such ITC? – in GSTR 3B or by DRC 03 • If DRC 03, can I reverse it using balance lying in credit ledger or I will have to discharge in cash? • Will there be any interest for such reversal
The article has says reverse by DRC 03 with 24% interest. It do not specify anything about waiver of interest for non utilisation of ITC in credit ledger.
30 May 2020
The 31st GST Council meeting recommended changing this Law to provide that only the net liability of a taxpayer would hereafter be subjected to interest. This amendment to the Central Goods and Services Tax Act, was presented under the Finance Bill, 2019. Under this new amendment governing section 50 of the Act, interest will now be charged on only that portion of the GST liability which is paid by debiting the electronic cash ledger. In other words, the portion paid using cash, bringing much desired relief to taxpayers.
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