Supplier charged higher GST rate

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Supplier charged higher GST rate
Query (Issue) Started By: - SHARAD ANADA Dated:- 27-9-2020 Last Reply Date:- 29-9-2020 Goods and Services Tax - GST
Got 4 Replies
GST
Mr A purchase goods from Mr. B. GST rate of goods is 12% but Mr. Charged 18%. Can Mr. A take ITC of 18%? Is there any case law? Reply By Ganeshan Kalyani: The Reply: In my view, yes the ITC of the tax paid @ 18% can .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... be claimed. Reply By KASTURI SETHI: The Reply: In this scenario, A is not safe in the eyes of law. Rather, the supplier is also subject to penalty. No person can collect and pay tax on his own volition. Tax (whatever kind of tax may be) has to be paid as per law and proper procedure has to be followed.. Instead of tracing out case law, better option is that the supplier should issue credit note .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... to the buyer and seek refund of that amount of tax from the department. In pre-GST regime, SCNs were issued to the person who availed such credit. Even in the GST regime also, under Section 155 of CGST Act, the burden of proof is cast upon the person who avails ITC. This very section would suffice to issue SCNs to both the persons i.e. the supplier and the buyer. So why to invite trouble unne .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... cessarily ? Reply By Himansu Sekhar: The Reply: He can take ITC @12% even though the language in Section 16 is : (1) Every registered person shall, subject to such conditions and restrictions as may be prescribed and in the manner specified in section 49, be entitled to take credit of input tax charged on any supply of goods or services or both to him which are used or intended to be used in th .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... e course or furtherance of his business and the said amount shall be credited to the electronic credit ledger of such person. Here charged means: mentioned in the Tariff Reply By KASTURI SETHI: The Reply: Sh.Himanshu Shekhar Ji, Yes. I add as under "Here charged means mentioned in tariff" but read with relevant notification either reducing the rate mentioned in tariff or granting ex .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... emption from the rate of tax mentioned in tariff.
Discussion Forum - Knowledge Sharing .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X