PAYMENT OF EXCESS REFUND, Goods and Services Tax - GST

[SURYAKANT MITHBAVKAR]

We are making payment of excess refund (Export-ITC) through DRC-03

Can we make payment without interest by debiting our credit ledger or we have to make payment only in cash ledger.

Please note that earlier we have received excess refund from SGST in our Bank Account.

Posts / Replies

[Nandan Khambete]

You can debit Tax amount either from Electronic Credit ledger or Electronic Cash Ledger and debit interest and or penalty as well in same DRC 03

[Spudarjunan S]

Dear Sir,

Taxes can be repaid through credit ledger through DRC-03, however when it comes to interest, you have to use cash ledger.

[Nandan Khambete]

Yes. I meant to say debit interest and penalty from Electronic Cash Ledger in same DRC 03 as well.

[Alkesh Jani]

Dear Experts,

A thought may be given to Section 41(2) of CGST Act,2017.

Thanks

[KASTURI SETHI]

I agree with Sh Alkesh Jani Ji. You have received excess refund in cash. So you are required to deposit the Govt. dues in cash and not through Electronic Credit Account.