TMI BlogInverted Tax UtilizationX X X X Extracts X X X X X X X X Extracts X X X X ..... Sir, One is manufacturing normal products, where rate of tax on inputs and output is almost same, simultanously they manufacturing footwear where input tax rate is higher i.e. 18% and output tax rate is 6% it means its under inverted tax rate structure. Is it possible to the taxpayer they can use spare tax accumulated on raw material of footwear to liability arised on normal products. Thanks ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... - Reply By KASTURI SETHI - The Reply = Yes. There is no restriction on utilisation in the situation explained. Even now refund is admissible but too many strings are attached. - Reply By Ganeshan Kalyani - The Reply = law says if purchases / expense incurred in course or furtherance of business then input tax credit is eligible. both the products are taxable so credit cannot be denied. th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ough it seems that excess credit of normal product can be used to set off liability of footwear, but chances are there for the litigation. this is because the business vertical is different. though the gstin is same. - Reply By koushal sharma - The Reply = If both the businesses are covered under same GSTIN and all inputs are for business purpose, then you can use the same for tax liability of o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ther goods. To know more detailed faqs under GST, Just visit at GST Forum India and know more about - Reply By KASTURI SETHI - The Reply = Sh.Sharma Ji, Thanks for throwing more light. - Reply By Ganeshan Kalyani - The Reply = going by the definition the credit can be taken if gstin is single . - Inverted Tax Utilization - Query Started By: - DEEPAK SHARMA Dated:- 28- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3-2018 Goods and Services Tax - GST - Got 5 Replies - GST - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
