Loss of capital goods

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..... Loss of capital goods
Query (Issue) Started By: - Kaustubh Karandikar Dated:- 12-8-2021 Last Reply Date:- 12-8-2021 Goods and Services Tax - GST
Got 1 Reply
GST
Capital Goods on which eit .....

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..... her VAT or ITC was claimed, were not traceable during physical verification. Therefore, where credit of VAT was claimed, SGST was paid on depreciated value and where ITC was claimed, GST was paid on d .....

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..... epreciated value. Sir, in my view since goods were not supplied at depreciated value but were lost / not traceable, the full ITC needs to be reversed and where VAT credit was claimed in the VAT regime .....

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..... , there was no need to pay GST/ reversal of ITC. Is my understanding correct? Reply By Shilpi Jain: The Reply: Where it was VAT credit no need to reverse as no ITC was claimed. As far as ITC claime .....

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..... d, since the goods were lost , reversal of actual credit may be required as it is blocked under 17(5). However, if the capital goods were put to use for business and for taxable supplies, then a stand .....

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..... can be taken that the credit had become a vested right and any reversal thereafter will require express provision for reversal or payment. Sine gst does not have such provisions, no reversal required .....

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..... . Though this can be an aggressive stand.
Discussion Forum - Knowledge Sharing .....

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