Page 115 - GSTL_23rd July 2020_Vol 38_Part 4

2020 ] IN RE : NAVBHARAT LPG BOTTLING COMPANY 481
Explanation : For the purposes of this clause, it is hereby clari-
fied that the aggregate value of exempt supplies and the total
turnover shall exclude the amount of any duty or tax levied
under entry 84 and entry 92A of List I of the Seventh Schedule
to the Constitution and entry 51 and 54 of List II of the said
Schedule;
(j) the amount of credit attributable to non-business purposes if
common inputs and input services are used partly for busi-
ness and partly for non-business purposes, be denoted as ‘D 2’,
and shall be equal to five per cent. of C 2; and
(k) the remainder of the common credit shall be the eligible input
tax credit attributed to the purposes of business and for effect-
ing supplies other than exempted supplies but including zero
rated supplies and shall be denoted as ‘C 3’, where, -
C 3 = C 2 - (D 1+D 2);
(l) the amount “C 3”, “D 1” and “D 2” shall be computed separately
for input tax credit of central tax, State tax, Union territory tax
and integrated tax and declared in FORM GSTR-3B or through
FORM GST DRC-03;
(m) the amount equal to aggregate of ‘D 1’ and ‘D 2’ shall be re-
versed by the registered person in FORM GSTR-3B or through
FORM GST DRC-03 :
Provided that where the amount of input tax relating to inputs or input
services used partly for the purposes other than business and partly for ef-
fecting exempt supplies has been identified and segregated at the invoice
level by the registered person, the same shall be included in ‘T 1’ and ‘T 2’ re-
spectively, and the remaining amount of credit on such inputs or input ser-
vices shall be included in ‘T 4’.
(2) except in case of supply of services covered by clause (b) of paragraph
5 of the Schedule II of the Act, the input tax credit determined under sub-
rule (1) shall be calculated finally for the financial year before the due date
for furnishing of the return for the month of September following the end of
the financial year to which such credit relates, in the manner specified in
the said sub-rule and -
(a) where the aggregate of the amounts calculated finally in re-
spect of ‘D 1’ and ‘D 2’ exceeds the aggregate of the amounts de-
termined under sub-rule (1) in respect of ‘D 1’ and ‘D 2’, such
excess shall be reversed by the registered person in FORM
GSTR-3B or through FORM GST DRC-03 in the month not lat-
er than the month of September following the end of the fi-
nancial year to which such credit relates and the said person
shall be liable to pay interest on the said excess amount at the
rate specified in sub-section (1) of section 50 for the period
starting from the first day of April of the succeeding financial
year till the date of payment; or
(b) where the aggregate of the amounts determined under sub-
rule (1) in respect of ‘D 1’ and ‘D 2’ exceeds the aggregate of the
amounts calculated finally in respect of ‘D 1’ and ‘D 2’, such ex-
cess amount shall be claimed as credit by the registered person
in his return for a month not later than the month of Septem-
ber following the end of the financial year to which such credit
relates.
GST LAW TIMES  23rd July 2020  115