Subject: Clarification of issues under GST related to casual taxable person and recovery of excess Input Tax credit distributed by an Input Service Distributor -Reg.
Representations have been received seeking clarification on certain issues under the GST laws. The same have been examined and the clarifications on the same are as below:
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2. It is accordingly clarified that the amount of advance tax which a casual taxable person is required to deposit while obtaining registration should be calculated after considering the due eligible ITC which might be available to such taxable person.
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2. While applying for normal registration the said person should upload a copy of the allotment letter granting him permission to use the premises for the exhibition and the allotment letter/consent letter shall be treated as the proper document as a proof for his place of business.
3. In such cases he would not be required to pay advance tax for the purpose of registration.
4. He can surrender such registration once the exhibition is over.
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2. The recipient unit(s) who have received excess credit from ISD may deposit the said excess amount voluntarily along with interest if any by using FORM GST DRC-03.
3. If the said recipient unit(s) does not come forward voluntarily, necessary proceedings may be initiated against the said unit(s) under the provisions of section 73 or 74 of the HGST Act as the case may be. FORM GST DRC-07 can be used by the tax authorities in such cases.
4. It is further clarified that the ISD would also be liable to a general penalty under the provisions contained in section 122(l)(ix) of the HGST Act.
2. Difficulties faced, if any, in implementation of the above instructions may please be brought to the notice of the Department.
Amit Kumar Agrawal
Excise & Taxation Commissioner-cum-
Commissioner of State Tax, Haryana