alleryStart learning →Inputs at 18 percent, output at 5 percent. Credit refund?
ANo, carry forward only
BOnly for a consulate
COnly if output exempt
DYes, inverted rate
Answer & Solution
Correct answer: D. Yes, inverted rate
The proviso to Section 54(3) allows refund where credit accumulates because the rate on inputs is higher than on output supplies, other than nil rated or fully exempt supplies.
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