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Vat input credit carry forward into gst? or take refund in vat

ITC / Input 1371 views 5 replies

i have vat input credit 19 lacs
shall i take refund in vat or carry forward to gst

Replies (5)

i think u  shud take refund of so much high amount. caz in gst u have no proovision to take refund for this. 

Input Tax Credit lying under earlier law like VAT or Excise can be carried forward under new tax regime i,e, GST as per the  provison of Sec.-140-Transitional arrangement of Input Tax Credit. (Ref. Chaper XX).

It means a registered person, otherthan a person opting to pay tax under Sec-10, shall be entitled to take, in his electronic credit ledger, the amount of CENVAT credit carried forward in the return relating to the period uending with the day immediately preceding the appointed day, furnished by him under the existing law in such manner as may be prescribed.

However Krishi Kalayn Cess (KKC), Swachh Bharat Cess (SBC), CST, Cess etc, if any credit of this are lying is not eligible to carried forwared.

N.B : This is as per my opinion and belief, consult your CA or Consultant before taking action based on this reply. It is for acedemic purpose only and having a chanse of debat/argument on same topic also.

How about a dealer opted for composition levy in Vat and wants to obtain Gst as normal tax payer whether he can claim any ITC

It depends on the reason for accumulated excess VAT credit.

If the credit is accumulated due to Export, you need to claim Refund in VAT department.

If credit is accumulated due to Unsold Stock, carry forward it to GST using GST Trans Form.

Any doubts ?

if by mistake vat refund has been carry forwarded to gst is there any provision revised or any other way oyt


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