Provisional ITC reversal does not establish self-assessed GST liability, preventing refund rejection solely during a pending investigation.
Case-Laws
GST
Provisional reversal of input tax credit in Table 4(B)(2) of GSTR-3B, unlike reporting output-tax liability in Table 3.1, does not by itself constitute self-assessed GST liability. The entry's statutory character depends on its nature, applicable provisions and contemporaneous material. Where the reversal was described as provisional and no liability had been determined or admitted, a pending stock-shortage investigation could not establish liability or justify retention of GST. A later demand under separate appeal could not retrospectively validate refund rejection. Refund eligibility remained subject to verification of applicable statutory conditions, and rejection could not rest solely on voluntary reversal or a pending investigation.
TMI Updates – Highlights, quick notes, marquee, annotation, news, alerts
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =