Rules for Discharging Liability :
As per section 35 (8) of the act, the taxable person shall discharge his tax and other dues in the following order:
(a) self-assessed tax, and other dues related to returns of previous tax periods;
(b) self-assessed tax, and other dues related to return of current tax period;
(c) any other amount payable under the Act / the rules including the demand determined under section 51.
As per section 35 (9) of the act, person who has paid the tax shall unless the contrary is proved be deemed to have passed on the full incidence of such tax to the recipient.