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2021 (7) TMI 600 - HC - GSTLevy of interest under Section 50 of the Central Goods and Services Tax Act, 2017 - interest on cash remittances - interest on remittances by way of adjustment of electronic credit register - HELD THAT:- In this case, the provisions of Section 42 are not relevant, insofar as the impugned order itself records that the assessee has, on receipt of intimation of the wrongful claim of input tax credit (ITC), accepted the error in claim and has reversed ITC, both attributable to CGST and SGST through voluntary payment of tax in Form GST DRC-03 - The provisions of Section 42 can only be invoked in a situation where the mismatch is on account of the error in the database of the revenue or a mistake that has been occasioned at the end of the revenue. In a case where the claim of ITC by an assessee is erroneous, as in this case, then the question of Section 42 does not arise at all, since it is not the case of mismatch, one of wrongful claim of ITC. Levy of interest on belated cash remittance - HELD THAT:- It is compensatory and mandatory and the levy is upheld to this extent. Petition disposed off.
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