Rule 88B(2) and sec 50

This query is : Resolved

Sonam (Querist)
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22 February 2024 An assessee paid tax for FY 2017-18 in GSTR 3B of sep 2018 by debiting electronic credit ledger...he had sufficient ITC in all the months from apr 18-sep18.
Will interest be payable on tax so paid through electronic credit ledger?
Assessing officer is considering rule 88B(2) and demanding interest on above payment.

CS Advocate Abhishek Goyal

CS Advocate Abhishek Goyal (Expert)
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23 February 2024 Yes rule 88B (2) is very much clear in this regard. It is not the case of delayed fling or return but delayed payment of tax which is covered under this sub rule. where 3B is filed late for any tax period, interest is payable only when tax is discharged through e cash ledger. But in other cases i.e. where liability for any FY is declared in the next FY then interest is leviable on gross tax.