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Issues and Concerns:

Issues and Concerns:

i. Unlike Central Excise or Service Tax Law, where interest was to be paid only when CENVAT Credit was availed and utilised incorrectly. In a GST regime availing of incorrect input tax credit is sufficient cause to attract the provisions of liability to pay interest.

ii. When there is change in the value of input tax credit (common credit) to be reversed to the extent it relates to exempt turnover on the basis of amounts calculated finally at the end of the financial year is liable to interest immediately from first day of subsequent financial year, whereas Central Excise Act, 1944, Finance Act 1994 read with CENVAT Credit Rules, 2004 allowed time for reversal without interest upto 30.06 of the subsequent financial year.