How get refund Excess unused amount in Credit Ledger. We are paying tax
in every month for SGST.
Kindly explain how get refund.
As per the refund provisions given in Section 54(3), Refund can only be claimed if it is a zero rated supplies made without payment of tax or ITC is accumulated because of GST rate on inputs being higher than output GST (inverted duty structure)
In your case, it doesn’t seems so due to the higher liability of SGST as you had mentioned.
So, refund cannot be claimed and transferring it to cash ledger is possible only on payment of tax
One suggestion can be, as per Rule 88A of the CGST rules, 2017 – utilise IGST credit for payment of IGST liability first and utilise the balance if any towards payment of SGST alone.
So that, your SGST liability would reduce and CGST payments can be made out of CGST credit available.
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