GST Interest Upheld as Cash Ledger Deposit Does Not Amount to Tax Payment: AP HC

Sona Enterprises Vs State of AP (Andhra Pradesh High Court) The petitioner, a registered person under the GST Act engaged in the business of trading ferrous waste and scrap, purchased scrap from Indian Railways and was liable to discharge GST under the reverse charge mechanism. An audit conducted for the periods 2017-18 and 2018-19 revealed that the petitioner had deposited the GST payable under reverse charge in cash into the electronic cash ledger but had not made the necessary debit entries appropriating the amount to the Government account. The audit also found that the petitioner had avai...