Rs.140 bln ITC involving 66,000 taxpayers stands blocked: GSTN
Goods and Services Tax Network (GSTN) has tweeted that it has blocked Rs.140 billion input tax credit (ITC) of 66,000 businesses registered under GST. This is only 0.38 per cent (approximately) of average ITC utilised by all taxpayers in a financial year. Responding to social media posts based on an Right to Information (RTI) reply about the Rs.6.14 trillion of ITC blocked under Rule 86A of GST laws, GSTN stated that the figure includes erroneous data entries made by the taxpayers. Under the Rule 86A in GST rules, taxmen can block the ITC available in the electronic credit ledger of a taxpayer if the officer has reasons to believe that the ITC was availed fraudulently. At present, there are 13.2 million taxpayers registered under GST.