Page 5 - Input Tax Credit

Brick manufacturing, trading to attract 6% GST without ITC; 12% with credit

Brick kilns can opt for a composition scheme to pay a 6 per cent GST without input tax credit (ITC) beginning Friday, higher than 5 per cent earlier. Those businesses who do not wish to opt for the composition scheme would be subject to 12 per cent Goods and Services Tax (GST) with ITC. The government on March 31 notified the GST rates that would be applicable from April 1. As per the notification, building bricks, earthen or roofing tiles, fly ash bricks and blocks, bricks of fossil meals can opt for a composition scheme. So far, manufacturing and trading of bricks were chargeable at 5 per cent GST, and businesses were allowed to claim credit on inputs. The GST Council had in September last year decided to bring brick kilns under a special composition scheme from April 1, 2022. AMRG & Associates Senior Partner Rajat Mohan said India is already witnessing high inflation and at this juncture, any steep increase in tax rates for essential infrastructure items would lead to a ripple

Officials bust network availing fake input tax credit benefits under GST

Central Goods and Services Tax (CGST) Commissionerate, Mumbai zone, on Friday said it has busted a network involved in availing fake input tax credit benefits under goods and services tax.CGST Commissionerate, Belapur of CGST Mumbai Zone, said it has also arrested the proprietor of Amarnath Enterprises, Navi Mumbai for availing and passing on of fake Input Tax Credit (ITC) of Rs 26.28 crore by issuing bogus invoices to the tune of Rs 132.7 crores.Based on a tip-off received from the Central Intelligence Unit of CGST Mumbai Zone an investigation was initiated, which revealed that only invoices were issued and no supply of goods had taken place, CGST Commissionerate said in a statement.Evidence gathered during the investigation and confession of the proprietor indicated that an offence, as specified in Section 132 of the Central Goods and Services Tax Act, 2017, was being committed with full disregard to the statutory provisions, with an intention to defraud the Government of its due ...

CGST finds Input Tax Credit fraud of Rs 81 cr; Mumbai firm director held

CGST Mumbai Zone has arrested a Navi Mumbai-based firm's director that allegedly availed and passed on Input Tax Credit of Rs 81 crore using bogus invoices to the tune of Rs 479 cr, an official said.

CGST finds ITC fraud of Rs 81 cr; Navi Mumbai firm's director held

The CGST Mumbai Zone has arrested the director of a Navi Mumbai-based firm that allegedly availed and passed on Input Tax Credit of Rs 81 crore

Avoid amendment

Proposed changes in GST will increase friction

Centre must relook proposed GST amendments on ITC

One of the prime objectives of Goods and Services Tax (GST) regime is to provide seamlinpuess input tax credit (ITC) and thus reduce the cascading effect of taxes

Navi Mumbai: One held by CGST authorities for input tax credit fraud

The CGST officials arrested the owner of Al-Marwah Traders on Tuesday for allegedly availing, utilising and passing on fraudulent ITC on bogus invoices of over Rs 60 crore

'Open to look into restaurants demand for higher GST rate with ITC benefit'

Revenue Secretary's comment comes at a time when a 5% tax is levied on restaurant services, irrespective of whether it is air-conditioned or non-AC, without the benefit of the input tax credit

Bombay HC issues notices to Centre, Maharashtra over blocking of ITC

The petitioner, which is engaged in renting and leasing movable and immovable properties, challenged section 17(5)(c) of Central GST Act and the same section in the Maharashtra GST Act

SME Chatroom: HS Code error in bill of entry can be amended after clearance

Here's how to claim a refund of the excess duty paid

Father-son duo held by CGST department for fake ITC of Rs 22 crore

A father-son duo has been arrested by the Central Goods and Services Tax department in connection with what is being called as a Rs 22-crore fake input tax credit (ITC) racket.

Refund interest paid on ineligible input tax credit, says industry

The levy of interest on availed but unutilised input tax credit is a subject of significant disputes in GST since its implementation

CBIC issues useful GST clarifications

CBIC says a company incorporated in India and a body corporate incorporated by or under the laws of a country outside India are separate legal entities

SC upholds Madras High Court's restriction of input tax refunds on services

Matter relates to industries facing inverted duty structure

SME Chatroom: Destruction of goods warrants reversal of input tax credit

Submit copies of correspondence with the buyer to the bank explaining the reasons for the inward remittance

The ITC tangle on Covid-19 related expenses

Regardless of whether it is incurred for employees or social causes, Input Tax Credit (ITC) being the backbone of GST is a major matter of concern for taxpayers incurring COVID-19 related expenditure

Contradictory AAR verdicts on CSR under GST regime baffle companies

Recently, the Uttar Pradesh AAR had held that CSR spend by companies is eligible for input tax credit

GST regime: Madras HC allows claiming input tax credit on TDS from VAT

The petitioners' counsel submitted that TDS is nothing but tax and the TNVAT Act makes this position clear

Delhi HC posts hearing on NAA to March 9, assigns matter to regular bench

Last month, companies told court that NAA was not following due process of law and was even launching probe against them when there was no cut in GST rates

Exporters get the shivers from two provisions in Finance Bill 2020

They are worried that the two proposals would make it difficult to seek refunds under indirect tax laws