Question ID :
40470
GST
As per sec 49A of Cgst Act, the utilization of IGST has to be done first. It there any order in which this utilisation is to be done. i.e igst then cgst and than sgst. or we can use for SGST first and than for CGST.
Posted by
VIPIN GUPTA
on
Nov 17, 2019
Filed Under
GST
Answer ID :
80241
Yes, Rule 88A allows utilisation of IGST against CGST or SGST in any order after setting off IGST liability.
Posted by
CA. SHILPI KATARIYA on
Nov 18, 2019
Answer ID :
80244
The Input tax credit shall be utilized in the following manner as per Sec 49(5) of CGST Act, 2017
1. IGST ITC - a. IGST b. CGST c. SGST
2. CGST ITC - a. CGST b. IGST
3. SGST ITC - a. SGST b. IGST
but as per sec 49A, it can be interpretted that, any ITC of Central, State or Union territorry has been left of shall not be utilized towards the setoff of the same unless the IGST ITC balance has been setoff against the CGST, SGST or UTGST. only after IGST balance becomes nil, we can utilize CGST, SGST and UTGST ITC.
Posted by
MASAI GAUTHAM RAJ on
Nov 18, 2019
Answer ID :
80245
As per rule 88A, ITC utilization of IGST can be done in any order. Only pre-condition is that ITC of IGST should be Fully exhausted first before using other credits
Posted by
CA. chunauti dholakia on
Nov 18, 2019
Answer ID :
80265
Rule 88A was inserted to remove any Second Priority for utilization of IGST after being utilized for IGST Payable.
Posted by
Ashish Kumar Goyal on
Nov 27, 2019