Dis allowance of GST input

This query is : Resolved

Daya (Querist)
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08 July 2022 can any one provide list of payment made dis allowance of GST Input such as
Interest on delay deposit of GST,
payment for late filing of GST returns,
penalty paid under GST( CAN ANY ONE PROVIDE WHICH TYPE OF PENALTY) DISALLOWED )
Please also provide list of section.

Asha Kanta Sharma online

Asha Kanta Sharma

(Expert)
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06 July 2024 Under GST (Goods and Services Tax) in India, certain payments are disallowed for claiming Input Tax Credit (ITC). These typically include:

1. **Interest on Delayed Payment of GST**: Any interest paid due to the delayed deposit of GST is not eligible for ITC.

- **Section**: There is no specific section under GST that disallows ITC for interest on delayed payment directly. However, interest paid for delay in tax payment does not form part of ITC as per the GST law.

2. **Late Fees for Filing GST Returns**: Any late fees paid for filing GST returns after the due date are not eligible for ITC.

- **Section**: Section 17(5)(h) of the CGST Act, 2017.

3. **Penalties under GST**: Penalties imposed under GST for various non-compliances are not eligible for ITC.

- **Types of Penalties**: These can include penalties for:
- Non-payment or short payment of tax
- Incorrect availing of ITC
- Failure to furnish returns or documents
- Filing incorrect information in returns or documents

- **Section**: Section 17(5)(i) of the CGST Act, 2017.

### Summary of Sections:
- **Section 17(5)(h)**: Specifies that late fees for filing GST returns are disallowed for claiming ITC.
- **Section 17(5)(i)**: Specifies that penalties under GST are disallowed for claiming ITC.

These sections are crucial to understanding what expenses related to GST are not eligible for Input Tax Credit, ensuring compliance with GST laws in India. Always consult with a qualified tax professional or GST consultant for precise guidance tailored to your specific circumstances.