GST Council Meetludhiana: Relief for GST Taxpayers who face the supplement to utilize input tax credits that do not meet the requirements (ITC) even if they do not use it, the GST council, in the meeting recently, made several amendments to the provisions related to the interests of liabilities .
According to new changes, the assessor people who have used ITC do not meet the requirements but do not use it, will not be subject to interest.
Sometimes it returns, the delegation of city entrepreneurs has raised the issue of innocent entrepreneurs who are punished in case some dealers in the supply chain are involved in a fake bill.
New developments will provide relief to such entrepreneurs who pay interest even after reversing GST which does not meet the requirements of GST 1, 2017.
Previously, if a taxpayer uses ITC does not meet the requirements, he is asked to pay the reversal interest of this ITC even if he hasn’t used it for GST payment on its inventory.
The Investigation Agency requires 24% (per year) interest in the reversal.
But now the GST Council has proposed to change this provision and taxpayers will not be responsible for paying interest if he has not used ITC that does not qualify.
“Thamman said,” If he uses the ITC who does not qualify, he must pay 18.% interest per year instead of 24%.
In other changes, if the taxpayer has utilized the part of ITC does not qualify for GST payment on its inventory, the interest will only apply to that section and not the entire amount.
“According to Dev Gupta, Secretary General of the North Induction Furnace Association (IFANI),” More needs to be done to ensure that honest entrepreneurs are not punished for someone’s mistake involved in a fake bill, but we appreciate the recent steps taken by the GST board.
At least some work has begun in the direction.
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Don’t use ITC does not meet the requirements? No need to pay for the punishment
