Central Board of Indirect taxes and Customs (CBIC) has clarified that taxpayers are free to utilise Input Tax Credit (ITC) available in their credit ledger as permissible by law to discharge their GST due for the month of March 2021, the last month of this financial year.
Further, it clarified that unconfirmed reports have appeared in certain sections of the media that some GST officers are using unauthorised communication asking taxpayers to discharge ‘maximum tax liability’ in ‘cash’ in order to ensure that targets for revenue collection from GST for the financial year are met.
However, neither the Government nor the CBIC have issued any such instructions to their field formations.
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GST Shortfall Compensation of 1,10,208 crore Released