GST: Madras HC order quashing levy of interest on ITC component

Madras High Court has set aside orders for levying interest on input tax credit as applied on delayed payment. A taxpayer under GST can pay through two options i.e. either by utilising ITC or by paying through cash. Many assesses got orders to pay interest on input tax credit in case of delayed tax payment. The Court referred circular dated September stating an order to recover interest based on net cash liability with effect from July 1, 2017.

https://www.thehindubusinessline.com/economy/gst-madras-hc-order-quashing-levy-of-interest-on-itc-component/article33015817.ece#