TMI BlogITC claimed under wrong headX X X X Extracts X X X X X X X X Extracts X X X X ..... In FY 2018-19, a person has wrongly claimed CGST and SGST of ₹ 30,000 each instead of claiming IGST of ₹ 60,000. No correction made in subsequent returns upto September 2019. However, the net tax payable after such ITC availment is paid under the correct head. Is there any way to correct this mistake in GSTR-9 ? Will the IGST lapse? - Reply By Rachit Agarwal - The Reply = As per In ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... structions to Annual Return, no credit of Input Tax can be claimed. For the purpose of claim of credit of Input Tax, Provisions relating to 16(4) to be complied and time limit thereon - Reply By SHARAD ANADA - The Reply = you may take a chance by applying ratio in case of 2018 (11) TMI 954 - KERALA HIGH COURT SAJI S., PROPRIETOR, ADITHYA AND AMBADI TRADERS, RANJITH R., PROPRIETOR, RANJIT ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... H ROADLINES VERSUS THE COMMISSIONER, STATE GST, THE ASSISTANT STATE TAX OFFICER WP(C).No. 35868 of 2018 - Reply By OmPrakash jain - The Reply = Refer another case of Jharkhand High Court Shree Nanak Ferro Alloys Pvt. Ltd. v. The Union of India 2020 (1) TMI 833 - JHARKHAND HIGH COURT , where IGST was wrongly paid under CGST head. The notice issued by the respondent fixing the liability to p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ay the short paid IGSTwas quashed. The petitioner is entitled to the benefit of the provisions of S.77(1) , CGST Act , read with S.19(2) , IGST Act . The petitioner is directed to deposit the amount under correct head, which was paid under wrong head towards the liability of Sept., 2017, without any interest on the said amount. The petitioner shall also be entitled to get the refund of the amo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... unt of deposited by them under the CGST head, or they may get the amount adjusted against their future liabilities, in accordance with law, as they may choose. - Reply By KASTURI SETHI - The Reply = There are two different situations:- (1) Availing ITC wrong head (against incorrect type of tax). (2) Making paying of tax against wrong head. First offence is more serious than second one ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... inasmuch as the tax payer should be very careful while taking credit. Only correct posting is to be made against type of duty. Some tax payers are doing it knowingly with some motive. Govt. is well aware of it. Wrong posting means improper maintenance of records.It may attract penalty under Section 125 of CGST Act . - Reply By KASTURI SETHI - The Reply = Payment of tax under incorrect head m ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eans one has failed to understand correct 'place of supply 'and that is why no interest is chargeable while sanctioning refund under Section 77 whereas availment of ITC against incorrect head means it has happened due to sheer negligence.No special intellect is required to post correct entry against any column. - Reply By Vibha Palekar - The Reply = This is Case 1 (1) Availing ITC wr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ong head (against incorrect type of tax). But it is entirely duty negligence of the accountant. However, since such wrongly availed CGST SGST (instead of IGST) has been set off against Output CGST and SGST, (which also would have been the case had the ITC been claimed under correct head that is as IGST) there is no revenue loss to the government. What would be the consequences in such a case? ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... - Reply By OmPrakash jain - The Reply = Correct mistake as per case of Jharkhand High Court Shree Nanak Ferro Alloys Pvt. Ltd. v. The Union of India 2020 (1) TMI 833 - JHARKHAND HIGH COURT mentioning the factual position. You can also give reference of Kerala high court case of Saji S., Prop., Adithya Ambadi Traders v. Commissioner 2018 (11) TMI 954 - KERALA HIGH COURT . In case of recei ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pt of any notice from deptt. refer the case to me, in case you are unable to submit appropriate reply. - Reply By KASTURI SETHI - The Reply = With reference to query at serial no. 6 dated 10.4.20, in this situation, Show Cause Notice or letter is most likely to be issued by the department as everything is on record in Common Portal System. In order to save penalty, you may bring it to the not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ice of jurisdictional GST Range Officer on your own and seek guidance to avoid avoidable litigation. - ITC claimed under wrong head - Query Started By: - Vibha Palekar Dated:- 3-4-2020 Goods and Services Tax - GST - Got 8 Replies - GST - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagemen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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