WHAT IS THE PRINCIPLE OF UNJUST ADJUSTMENT

245 views 2 replies
WHAT IS THE PRINCIPLE OF UNJUST ADJUSTMENT
Replies (2)
Unjust enrichment has been defined as: "A benefit obtained from another, not intended as a gift and not legally justifiable, for which the beneficiary must make restitution or recompense." A claim for unjust enrichment arises where there has been an "unjust retention of a benefit to the loss of another or the retention
The principle of unjust enrichment would apply only if the revenue has cogent evidence that the incidence of tax has been passed on to another person.

For Example : 1. As per the proviso to section 34(2) of CGST Act state that " no reduction in output tax liability of supplier shall be permitted of the incidence of tax & interest on such Supply has been passed on to any other person" So in this case Supplier is liable to reduce his tax liability only when the recipient has reduced his ITC .

Example 2 : As per Section 54(8) of CGST Act the Unjust enrichment principal does not apply when refund is claimed in respect to:the Tax (IGST) paid in making outward zero-rated supplies, because there is no incidence of tax is passed.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 20 June 2026
Articleship

RB KESHRI & CO

Mumbai

B.Com

View Details
Company
ARTICLESHIP 04 June 2026
Article

Rakhecha & Co.

New Delhi

CA Inter

View Details
Company
16 June 2026
Sr. Associate / Assistant Manager | TAS / FDD

Boutique Investment Bank & Transaction Advisory Firm

Gurgaon

CA

View Details
Company
24 June 2026
Senior Account (VA Client Operations)

Karbon Business

Bengaluru

CA Inter

View Details
Company
24 June 2026
Chartered Accountant - GST & Direct Tax

APL

Mumbai

CA

View Details
Company
ARTICLESHIP 27 June 2026
Article

SNCO

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 28 June 2026
Article Assistant

Sharma Chetan And Company

Gurgaon

CA Inter

View Details
Company
ARTICLESHIP 18 June 2026
Article Assistance

RB KESHRI & CO.

Mumbai

CA Inter

View Details