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Please suggest what to do with this GST problem of input CGST

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Jatin

Owner

35 Points Posted on 22 September 2020

We have been facing this issue since past few months now and decided to seek some help from this forum. Our CGST input remains unutilized and we have to pay SGST every month. So basically we are paying surplus GST and as far as I know, there is no provision of refund of this amount. In the below attached example, the total GST that should be paid is 36 but we pay 63 and CGST of 27 is in our CGST ledger which we cannot use or claim. Can someone please suggest a solution? Thanks.

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Sagar Patel

Tax and Business Consultant

5533 Points Posted on 22 September 2020

IGST Credit first required to be set off against IGST output only , than after remaining IGST credit (Rs. 90 in your case) can be set off against CGST/SGST output in any proportion...

It's not mandatory to first set off that Rs. 90 against CGST output and that after SGST output..
You can set off in any proportion as per your choice..You can Fully use that Rs. 90 for SGST output also or can do 50-50..