Sec 2(46) – Electronic Credit Ledger

You are here :Home>Bare Law>Sec 2(46) – Electronic Credit Ledger
Sec 2(46) – Electronic Credit Ledger 2017-04-14T03:14:56+00:00

GST India Forum – Goods and Services Tax (GST) in India Forums Bare Law Sec 2(46) – Electronic Credit Ledger

Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • AdminAdmin
    Keymaster
    Post count: 130
    Topics: 129
    Replies: 1
    Been thanked: 1 time
    #1231 |

    “electronic credit ledger” means the electronic credit ledger referred to in sub-section (2) of section 49;

    Priya MadrechaPriya Madrecha
    Moderator
    Post count: 280
    Topics: 4
    Replies: 276
    Been thanked: 1 time

    Electronic credit ledger means the input tax credit register required to be maintained in an electronic form by each registered person. As a process, based on details of outward supplies filed by the suppliers, the electronic credit ledger of the recipient of goods/ services would be auto populated in the GSTN under the categories matched, un-matched and provisional. The tax payer claiming input credits should review the same and accept the relevant ones for claiming input credit.
    The electronic credit ledger will be debited with the amount of liability so adjusted against the input tax credit lying in the ledger, and will stand reduced to the extent of the claim of refund of unutilised input tax credit, if any.
    The amount of CGST credit available in this ledger can be used only towards discharging the liability on account of output tax under CGST/ IGST/ UTGST law only. Similarly, the amount of credit of other GST taxes can be used only towards discharging the liability of taxes under the GST laws, and not towards payment of interest, penalty or other sums due.
    It is relevant to note that since ‘output tax’ excludes tax payable under reverse charge basis, some experts are of the view that the tax payable under reverse charge basis must be discharged by cash only and credit cannot be utilized for discharging such a liability.

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.