Chartered Accountant in Practice
1260 Points
Posted on 01 August 2020
Mr Sumit, it appears that there has been an early availment of credit. Credit of July has been availed in June and hence the company may have an exposure of interest for 1 month. No action is required. You may decided to pay interest now or wait for the department to demand. Further, if the company has excess ITC, then the interest also would not arise.