Question79:
As per Section Section 16 of the CGST Act
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 reverse
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.
In case of Import of Goods GST is paid the basis of Bill of Entry and input for
the same is taken.
when payment is not made to Foreign Supplier within 180 days for Import of
Goods, whether Reversal of credit has to be made of note.
Answer The relevant provision is as follow
SECTION 16 OF CGST ACT
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 reverse
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:
The law requires payment of value with the tax amount which is not possible in
case of imported goods
In import you pay only the value to the supplier and not the tax amount The tax
amount is paid to the custom
That way you can never take credit because you will never pay tax amount to the
supplier It means intention of law is not to cover import
More over the import duty(custom + IGST) is paid by the importer and not by the
supplier although it is not reverse charge but carry the same nature
The tax is paid by you there fore credit should be allowed
So we suggest you to not reverse the credit in case of import (Reply dt.
27/3/2018)