Page 106 - GSTL_23rd July 2020_Vol 38_Part 4

472 GST LAW TIMES [ Vol. 38
Government, either in cash or through utilisation of input tax
credit admissible in respect of the said supply; and
(d) he has furnished the return under section 39 :
Provided that where the goods against an invoice are received in lots or in-
stalments, the registered person shall be entitled to take credit upon receipt
of the last lot or instalment :
Provided further that where a recipient fails to pay to the supplier of goods
or services or both, other than the supplies on which tax is payable on re-
verse charge basis, the amount towards the value of supply along with tax
payable thereon within a period of one hundred and eighty days from the
date of issue of invoice by the supplier, an amount equal to the input tax
credit availed by the recipient shall be added to his output tax liability,
along with interest thereon, in such manner as may be prescribed :
Provided also that the recipient shall be entitled to avail of the credit of in-
put tax on payment made by him of the amount towards the value of sup-
ply of goods or services or both along with tax payable thereon.
(3) Where the registered person has claimed depreciation on the tax com-
ponent of the cost of capital goods and plant and machinery under the pro-
visions of the Income-tax Act, 1961, the input tax credit on the said tax
component shall not be allowed.
(4) A registered person shall not be entitled to take input tax credit in re-
spect of any invoice or debit note for supply of goods or services or both af-
ter the due date of furnishing of the return under section 39 for the month
of September following the end of financial year to which such invoice or
debit note pertains or furnishing of the relevant annual return, whichever is
earlier :
Provided that the registered person shall be entitled to take input tax credit
after the due date of furnishing of the return under section 39 for the month
of September, 2018 till the due date of furnishing of the return under the
said section for the month of March, 2019 in respect of any invoice or in-
voice relating to such debit note for supply of goods or services or both
made during the financial year 2017-18, the details of which have been up-
loaded by the supplier under sub-section (1) of section 37 till the due date
for furnishing the details under sub-section (1) of said section for the month
of March, 2019.
Section 17. (1) Where the goods or services or both are used by the reg-
istered person partly for the purpose of any business and partly for other
purposes, the amount of credit shall be restricted to so much of the input
tax as is attributable to the purposes of his business.
(2) Where the goods or services or both are used by the registered person
partly for effecting taxable supplies including zero-rated supplies under
this Act or under the Integrated Goods and Services Tax Act and partly for
effecting exempt supplies under the said Acts, the amount of credit shall be
restricted to so much of the input tax as is attributable to the said taxable
supplies including zero-rated supplies.
(3) The value of exempt supply under sub-section (2) shall be such as may
be prescribed, and shall include supplies on which the recipient is liable to
pay tax on reverse charge basis, transactions in securities, sale of land and,
subject to clause (b) of paragraph 5 of Schedule II, sale of building.
Explanation. - For the purposes of this sub-section, the expression “value of
exempt supply” shall not include the value of activities or transactions
specified in Schedule III, except those specified in paragraph 5 of the said
Schedule.
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