I manufacture knitted fabric. yarn comes at 18% IGST or 9% CGST & 9% SGST And on fabric GST is 5%. I will always be having ITC credit. Can that credit be used for paying RCM liability.
Keshav Kakar (82 Points)
27 July 2017I manufacture knitted fabric. yarn comes at 18% IGST or 9% CGST & 9% SGST And on fabric GST is 5%. I will always be having ITC credit. Can that credit be used for paying RCM liability.
RAJA P M
("Do the Right Thing...!!!")
(128062 Points)
Replied 27 July 2017
satish
(Chief Mgr.Account & finance)
(38 Points)
Replied 27 July 2017
no rcm can not pay with itc amount.
CA Akhilesh Kumar Kandpal
(Proprietor A K Kandpal & Associates)
(1442 Points)
Replied 28 July 2017
RAJA P M
("Do the Right Thing...!!!")
(128062 Points)
Replied 28 July 2017
Anamika
(Working)
(119 Points)
Replied 28 July 2017
Bhav Bhuti Sharma
(Towards Professionalism )
(823 Points)
Replied 28 July 2017
it is liability should be paid and after paying it will become yout itc.
Keshav Kakar
(82 Points)
Replied 28 July 2017
RAJA P M
("Do the Right Thing...!!!")
(128062 Points)
Replied 28 July 2017
Kaushik Deepak (KD)
(Officer Accountant)
(1136 Points)
Replied 28 July 2017
NO
RCM can't be adjusted with input. However refund provisions are there for your case.
Dont worry you can claim refund under this situtaion Refund Process under GSTREFUND PROCESS UNDER GST Following are the procedures for processing of refund claimed-: Application form for claiming refund can be filed through the GSTN portal. An acknowledgement number would be shared with applicant via sms or email,
once the application is filed electronically. Adjustment would be made to return and cash ledger and reduce the “carry-forward input tax credit” automatically.
Refund application and documents submitted shall be scrutinized within a period of 30 days of filing the refund application. Concept of “unjust enrichment” would be examined for reach refund application.
If it does not qualify, then the refund would be transferred to CWF(consumer welfare fund).
If refund claimed exceeds the predetermined amount of refund then it will go through pre-audit process for sanctioning the refund. Refund will be credited electronically to the account of applicant via ECS, RTGS or NEFT. Application for refund can be made at end of each quarter.
No refund shall be provided for an amount of less than Rs 1000.
RAJA P M
("Do the Right Thing...!!!")
(128062 Points)
Replied 28 July 2017
Originally posted by : Deepak Kr. Sharma | ||
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NO RCM can't be adjusted with input. However refund provisions are there for your case. Dont worry you can claim refund under this situtaion Refund Process under GSTREFUND PROCESS UNDER GST Following are the procedures for processing of refund claimed-: Application form for claiming refund can be filed through the GSTN portal. An acknowledgement number would be shared with applicant via sms or email, once the application is filed electronically. Adjustment would be made to return and cash ledger and reduce the “carry-forward input tax credit” automatically. Refund application and documents submitted shall be scrutinized within a period of 30 days of filing the refund application. Concept of “unjust enrichment” would be examined for reach refund application. If it does not qualify, then the refund would be transferred to CWF(consumer welfare fund). If refund claimed exceeds the predetermined amount of refund then it will go through pre-audit process for sanctioning the refund. Refund will be credited electronically to the account of applicant via ECS, RTGS or NEFT. Application for refund can be made at end of each quarter. No refund shall be provided for an amount of less than Rs 1000. |
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Dear Deepak.,
Your clarification is EXACTLY CORRECT....
But, what is the sad moment...?
It's not applicable to Textile Industry....Only adjust his ITC to his input liabilities...
Neha Jain
(Chartered Accountant)
(1085 Points)
Replied 28 July 2017
No, At first you have to deposit RCM to govt than you can avail ITC of that
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