GST Penalty if Wrong Input Tax Credit availed or utilized
Section of CGST Act 2017
Particulars
Penalty
122(1)(vii)
Takes or utilizes input tax credit without
actual receipt of goods or services or both either fully or partially,
in contravention of the provisions of this Act or the rules made thereunder;
Rs.
10000 or the
amount of wrong ITC availed and utilised,
whichever is higher
122(1)(ix)
Takes or distributes ITC in contravention of section 20 (Manner of distribution of credit by Input Service Distributor ) or rules made thereunder
Rs.
10000 or the
amount of wrong ITC passed or distributed,
whichever is higher
122(2)
Input
tax credit wrongly availed
and utilised for any reason other than fraud or wilful misstatement
or suppression of facts
Rs.
10,000/- or10%
of tax due,
Whichever is higher.
122(2)
Input
tax credit wrongly availed
and utilised for reason of fraud or willful misstatement or
suppression of facts
Rs.
10,000/- or100%
of tax due,
whichever is higher
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