Utilization of IGST Credit Balance for Discharge of CGST and SGST Liability—Akhilesh Kumar Sah

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The Tax Publishers GST--Input Tax Credit Utilization of IGST Credit Balance for Discharge of CGST and SGST Liability Akhilesh Kumar Sah Sections 49A and section 49B were introduced in the CGST Act with effect from 1-2-2019. As per section 49A IGST credit balance can be utilized against liability of CGST, SGST and UTGST. Also, section 49B grants the government the authority to prescribe the order and method of ITC utilization for IGST, CGST, SGST or UTGST payments. Rule 88A prescribes the manner of utilization of input tax credit. The learned author seeks to discuss the issue as to whether IGST credit balance can be utilized for discharge of CGST and SGST liability. 1. Introduction Sometimes, there remains balance in IGST head and which is set off by dealer against the dues of CGST and SGST which gives no Revenue loss and also this facilitates the GST payments and removing unnecessary exercise of refunds. In this respect, the recent legislative changes and decisions of Kerala High Court are being analysed here in brief. SUBSCRIBE FOR FULL CONTENT

The Tax Publishers

GST--Input Tax Credit

Utilization of IGST Credit Balance for Discharge of CGST and SGST Liability

Akhilesh Kumar Sah

Sections 49A and section 49B were introduced in the CGST Act with effect from 1-2-2019. As per section 49A IGST credit balance can be utilized against liability of CGST, SGST and UTGST. Also, section 49B grants the government the authority to prescribe the order and method of ITC utilization for IGST, CGST, SGST or UTGST payments. Rule 88A prescribes the manner of utilization of input tax credit. The learned author seeks to discuss the issue as to whether IGST credit balance can be utilized for discharge of CGST and SGST liability.

1. Introduction

Sometimes, there remains balance in IGST head and which is set off by dealer against the dues of CGST and SGST which gives no Revenue loss and also this facilitates the GST payments and removing unnecessary exercise of refunds. In this respect, the recent legislative changes and decisions of Kerala High Court are being analysed here in brief.