Valid GST transitional credit claims Rs 12,000 cr, not Rs 65,000 cr: Govt

Rs 65,000 cr out of Rs 95,000 cr tax collections in July had been claimed as transitional credit by taxpayers

The government has come out with an estimate that valid transitional credit claims of taxpayers in July — the first month of GST — are just Rs 12,000 crore and not Rs 65,000 crore as previously claimed.

As much as Rs 65,000 crore out of the about Rs 95,000 crore tax collections in July had been claimed as transitional credit by taxpayers, but a close scrutiny has brought down the valid claims to Rs 12,000 crore, a finance ministry official said.

Even these claims could be adjusted in future months, a statement by the finance ministry suggested.

The Goods and Services Tax (GST)