Issues and Concerns:
i. Registered person, while making payment of tax, interest, penalty or any other fee is required to exercise abundant caution, as any incorrect payment made in particular major / minor head cannot be utilised for payment of tax, interest, penalty or any other fee of other major / minor head.
ii. Recipient of notified services who is liable to reverse charge, is required to ensure that no tax is charged on the Tax invoice issued by the supplier of notified goods or services and all necessary declarations as required under the tax invoice and input tax credit provisions are complied with.
iii. A Person having multiple registrations is required to ensure that payment of tax is made for the registrations against which the tax liability is due. Any incorrect payment will envisage that the correct payment of taxes under the appropriate registration, while such person needs to seek refund from that particular registration under which the said wrong payment is effected. This will impact working capital and obtaining refunds will envisage time and costs.