To help taxpayers track their GST liabilities, payments and Input Tax Credit availability and utilisation, the GSTN has enabled one electronic register called the Electronic liability register and two electronic ledgers namely Electronic Cash Ledger and Electronic Credit Ledger on the GST portal. The electronic liability register is maintained in FORM GST PMT-01, electronic cash ledger is maintained in FORM GST PMT-05, and the electronic credit ledger is maintained in FORM GST PMT-02.
In this article, we will discuss the Electronic Credit Ledger (FORM GST PMT-02):
For every GST registered person eligible to claim Input Tax Credit (ITC) on the GST common portal, an electronic credit ledger should be maintained in FORM GST PMT-02.
- Every claim of ITC will be credited to this ledger.
- The amount available in the electronic credit ledger can be used for paying output tax liabilities.
- In case a taxpayer has claimed refund of any unutilised amount from the electronic credit ledger in accordance with the provisions of section 54, the amount to the extent of the claim will be debited from this ledger.
- However, if the refund application is rejected (either fully or partly) the amount debited to the extent of rejection, will be re-credited to the electronic credit ledger.