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Refund claim inverter tax structure _Input credit

emmaneul a (22 Points)

08 April 2019

please kindly explain Gst input accumulated credit how to claim refund and which supporting document required ?

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2 Replies

Harshit Baheti (344 Points)
Replied 09 April 2019

The formula is quiet complicated cannot be explained on this form u need to check for urself u'll understand

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Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 09 April 2019

As per Rule 89(5) of CGST Act read with Notification 21/2018 CT :
Maximum Refund Amount =(Turnover of Inverted rated supply of Goods) X Net ITC ÷Adjusted Total Turnover.

Now putting above formula :. Suppose
Raw Material (Inward supply) 100 input :12
Fabric (outward supply ) : 150 Output : 7.5

Maximum Refund :( 150 X 12) ÷ 150 - 7.5 = 4.5

Note : No Refund is permissible for accumulated credit on Input Services