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GST - Inadvertent payment of tax under CGST and SGST instead of IGST, Remedy for taxes wrongfully paid, Appropriation of amounts towards correct tax head instead of refund mechanism - Petitioner declared outward supply as IGST in GSTR 1 return but inadvertently paid the tax under CGST and SGST heads while filing GSTR 3B return – Dept issued order imposing tax and interest acknowledging the clerical error but noting no mechanism exists to transfer tax from one head to another - The Department contended the only remedy is to discharge liability and apply for refund of erroneously paid amounts under the refund mechanism - Whether a registered person who has inadvertently paid tax under CGST and SGST instead of IGST due to clerical error can claim appropriation of such amounts towards the correct tax head or must follow refund mechanism, and whether interest is chargeable where entire tax liability was ultimately discharged - HELD - Section 77 CGST Act, 2017 addresses situations where CGST and SGST are paid erroneously under misconception that transaction is intra-State when subsequently held to be inter-State supply, providing refund and exempting interest. The present situation differs as it involves inadvertent clerical error in remittance under wrong tax heads when entire tax liability was intended and ultimately discharged - The principle underlying Section 77 that interest should not be charged when taxable person has remitted necessary taxes may apply by analogy. The petitioner has discharged entire tax liability within prescribed period. Requiring petitioner to first pay additional liability and thereafter seek refund would constitute unjustified penalisation - Procedural appropriation of amounts already available towards correct liability should be permitted rather than requiring full refund-claim mechanism – The petitioner may file application requesting aggregate amount inadvertently remitted under CGST and SGST heads be appropriated towards IGST liability; if procedurally necessary, refund application may be submitted - Respondents are directed to appropriate amounts already available towards petitioner's IGST liability. No interest to be charged - the writ petition is disposed of
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