09 September 2020
We have received intimation from SGST Department for excess TRAN 1 credit claimed of Rs 53003/-. We have utilized the TRAN 1 credit in the month of Jan 2018. Now we have received intimation to deposit tax along with interest. Now we are having a credit in our IGST , CGST and SGST ledger. When we are doing DRC 03 the amount of SGST is first adjusted through IGST can we do this or cash has to be deposited and then DRC 03 to be done
Second will we be liable to pay interest U/s 50 as the section points out wrong credit U/s 42(10) and 43(10).. Please guide. If the department issues us the showcause notice for interest will be, be liable for penalty also.
09 September 2020
You can pay from your electronic credit ledger.Since you have utilised the excess credit taken in TRAN1, you will liable to interest @ of 18%.
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