Section 43Bh Disallowance

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Section 43Bh Disallowance
Query (Issue) Started By: - JishnuKumar S Dated:- 25-3-2025 Last Reply Date:- 25-3-2025 Income Tax
Got 2 Replies
Income Tax
Dear Experts, I have a query regarding the partial payment disbursement to an MSME vendor. In our organization, we are encountering issues with vendors who are non-filers from a GST perspective. Is it possible to withhold the GST portio .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... n while releasing the payment? If so, what are the potential disallowence of doing so? Regards JK Reply By Ramanathan Seshan: The Reply: Dear JK, The Act says "Any sum payable", that includes GST component as well. Hence that will be disallowed. Also, disallowance with respect to Micro and small vendors only, medium is not in the ambit of disallowance. I attach the bare Act for ready referenc .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... e "....any sum payable by the assessee to a micro or small enterprise beyond the time limit specified in section 15 of the Micro, Small and Medium Enterprises Development Act, 2006 (27 of 2006),...." Regards, S Ram Reply By VIPUL JHAVERI: The Reply: ANOTHER POSSIBLE VIEW MAY BE - GST IS PAYABLE MAX IN 180 DAYS AND IF FOR  GST NON-REFLECTION ON PORTAL / NON-FILING OF RETURN FOR OUR BILL .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... GST PAYABLE TO VENDOR GETS SHIFTED FROM VENDOR ACCOUNT TO GST UNSEEN A/C- SUM PAYABLE TO VENDOR GETS REDUCED AND SO DISALLOWANCE MAY BE - ALSO GET REDUCED, ITS LOGICAL AND WITH LEGIMATE INTENTIONS SO MOSTLY WILL HELP TO AVOID UNDUE DISALLOWANCES FOR GST CHRGED BUT YET TO SHOW UP ON PORTAL IN 2B
Discussion Forum - Knowledge Sharing .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X