Section 11A

Section 11A. Power not to recover Goods and Services Tax not levied or short-levied as a result of general practice.

Date Issued: 16 August 2024
State: CBIC
Source: CGST Act 2017
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Summary

Section 11A serves as a critical "regularization" or amnesty mechanism within the GST framework. It is designed to protect taxpayers from sudden, massive tax demands in cases where an entire industry or sector genuinely followed a widespread, accepted practice of not paying tax or paying at a lower rate. Recognizing that such shortfalls are often due to systemic ambiguity rather than deliberate individual evasion, the law empowers the Government, acting on the GST Council's recommendation, to officially waive the recovery of these past dues. This provision was recently enacted through the Finance (No. 2) Act, 2024.