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GST Sec 18(4)

anupama (industrial trainee) (79 Points)

28 July 2018

does the amount availed as Input tax credit will be actually paid to government or just reversed in ECL u/s 18(4).

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Pankaj Rawat (GST Practitioner) (55057 Points)
Replied 28 July 2018

No need to deposit any tax you have to reverse your ITC as your ITC will be lapse

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anupama (industrial trainee) (79 Points)
Replied 28 July 2018

thanks for reply sir. but words of law says "HE SHALL PAY an amount by way of debit in Ecr ledger or ECL"

Pankaj Rawat (GST Practitioner) (55057 Points)
Replied 29 July 2018

Sorry Anupama
I actually misread your query , yes You have to fill ITC 03
GST ITC-03 is a Form to file to pay an amount through the common portal, by way of debit in the electronic credit ledger or electronic cash ledger equivalent to credit availed in respect of of input held in stock .

So if there is not enough balance in ECL but the input on stock shown in ITC 03 is Higher then have to pay by Electronic cash Ledger.

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anupama (industrial trainee) (79 Points)
Replied 29 July 2018

rawat sir then won't it result in double payment of tax for same amount ie first by way of tax already paid to supplier and then again payment equal to value of itc taken ?