Upgrad LLM

itc reversal


Sir, I am SIva from Tamilnadu running a small medicine retail shop. I am registered dealer under TNVAT Act. Today i have received a notice from CTO(Assessing officer) regarding reversal of ITC for the period Jan07 to Mar07 and  April 07 to Mar 08 (two years).  

Due to delay in filling the returns Form I for both the F-Y (06-07 and 07-08) on 05.06.2008. Also they stated the ITC claimed during the two financial year respectively Rs.21337 (06-07) and Rs.118325 (07-08) has been reversed for non filling of returns on due date (within 90 days or within financial year ending) as per TNVAT Act. If there is any objection on this proposal of reversing this ITC should file thier objection on or before 31st of this month. 

Kindly suggest me face the problem and help me sir... 

 

Note: Reason for non filling of returns is lack of knowledge in filing the returns at the initial stages while implementing VAT. Also they have collected C Fees Rs.500 each year for the delay filing while filling the returns on 05.06.2008.. 

 
Reply   
 
Lawyer in Hyderabad.wats app no.9989324294

Circumstances when tax credit adjustment/reversal is required by purchaser 
In accordance with section 10(1) of the TNAT Act, the purchaser is under an 
obligation to adjust his input tax in the following two circumstances, namely, : 
(i) If the purchaser returns or rejects goods purchased by him; and 
(ii) Where any purchaser has been issued with a credit note or debit note in 
terms of section 51 of the TNAT Act; or 
Therefore, the purchasing dealer shall adjust his input tax credit in only two 
aforesaid circumstances
 
Reply   
 


LEAVE A REPLY


    

Your are not logged in . Please login to post replies

Click here to Login / Register  



 

  Search Forum








×

Menu

CrPC MASTERCLASS!     |    x