Paid GST in Wrong Head! How Can I Rectify GST paid Challan


Paid GST in Wrong Head! How Can I Rectify GST paid Challan

Hi friends,

I have seen many cases specially when GST was newly introduced, where people have paid GST in wrong head and now there money is blocked and they cannot use it. For resolving this issue, Government has introduced Form GST PMT-9.  Through this article lets discuss how this mechanism will work. This article discusses about legislature of Form GST PMT9. Working and mechanism of Form will be discussed once GST PMT9 is live.

Legal Provisions:

Section 49 (10) A registered person may, on the common portal, transfer any amount of tax, interest, penalty, fee or any other amount available in the electronic cash ledger under this Act, to the electronic cash ledger for integrated tax, central tax, State tax, Union territory tax or cess, in such form and manner and subject to such conditions and restrictions as may be prescribed and such transfer shall be deemed to be a refund from the electronic cash ledger under this Act.

Section 49 (11) Where any amount has been transferred to the electronic cash ledger under this Act, the same shall be deemed to be deposited in the said ledger as provided in sub-section (1)

Rule 87 (13) A registered person may, on the common portal, transfer any amount of tax, interest, penalty, fee or any other amount available in the electronic cash ledger under the Act to the electronic cash ledger for integrated tax, central tax, State tax or Union territory tax or cess in FORM GST PMT-09.

What is Form GST PMT9

Form GST PMT9 can be filled up if amount from one major / minor head is intended to be transferred to another major/minor head.

This is the Form. Full Mechanism of filing will be discussed once GST PMT9 is live
This is the Form. Full Mechanism of filing will be discussed once GST PMT9 is live

Major head refers to – Integrated tax, Central tax, State/UT tax and Cess.

Minor head refers to – tax, interest, penalty, fee and others.

For Example Mr A has deposited Rs 100 in Integrated tax as penalty instead of transferring it in Integrated tax. Through the form, he can now rectify this mistake.

Thus This form helps tax payer to shift wrongly paid Tax, interest and penalty etc. in correct head of tax, interest & penalty.

How Can I Rectify GST paid Challan

Please note that you are not rectifying the challan by filling Form GST PMT-9. You are only shifting the amount available in your cash ledger from one head to another.

Other Key Points to be noted:

1. You cannot use Form GST PMT9 if Tax has already been utilized. For instance if you have paid tax wrongly and have utilized the wrong amount, and filed the return wrongly, then you cannot use this form. In that case you need to correct your return by making adjustments in next month return.

2. Both Inter head and Intra-head transfers are possible via this Form.

CA Pratibha Goyal

This article has been shared by CA Pratibha Goyal. She runs a youtube channel in name of Studycafe and has a telegram channel as well.


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