Central Goods and Services Tax Act, 2017
Chapter V - Input Tax Credit
Section 21 - Manner of recovery of credit distributed in excess
21. Manner of recovery of credit distributed in excess
Where the Input Service Distributor distributes the credit in contravention of the provisions contained in section 20 resulting in excess distribution of credit to one or more recipients of credit, the excess credit so distributed shall be recovered from such recipients along with interest, and the provisions of section 73 or section 74 1[or section 74A]1, as the case may be, shall, mutatis mutandis, apply for determination of amount to be recovered.
Notes:
1. Inserted (w.e.f. 01-11-2024) vide Section 120 of the Finance (No. 2) Act, 2024 dated 16-08-2024
Act
- Section 20 - Manner of distribution of credit by Input Service Distributor
- Section 73 - Determination of tax, pertaining to the period upto Financial Year 2023 24, not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilised for any reason other than fraud or any willful-misstatement or suppression of facts
- Section 74 - Determination of tax, pertaining to the period up to Financial Year 2023 24, not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilised by reason of fraud or any willful-misstatement or suppression of facts
