Input Tax credit, Goods and Services Tax - GST

[Ethirajan Parthasarathy]

A dealer has some unutilized GST input tax in electronic credit ledger. From a particular date, the goods dealt by him becomes non taxable and hence writes off the balance of input tax in electronic ledger.

Can this write off be disallowed u/s 43B , since relevant input taxes were incurred in earlier years or can be disallowed as “ Prior Period expenses”.

Posts / Replies

[DR.MARIAPPAN GOVINDARAJAN]

In my view it should be reversed.

[KASTURI SETHI]

I concur with the views of Dr.Govindarajan, Sir. Read the following relevant Section 18 of CGST Act, 2017 and Rule 44 of CGST Rules, 2017