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RCM input credit taken on same month in GSTR 3B return

ITC / Input 2649 views 6 replies

ADHIP KUMAR MISRA

ACCOUNTS MANAGER

179 Points Posted on 17 March 2022

In February'22 there were some taxable inward supplies liable to reverse charge (RCM) . In GSTR-3B return of Feb'22 I am showing this in the 3.1 Table , and I shall pay this RCM also for Feb'22 while return filing . But my question is , can I take the ITC credit of this RCM (it falls under eligible category) in the Feb'22 return filing itself against my output Feb'22 liability ? Or I am not allowed to take this RCM ITC in Feb'22 , and i can take this ITC benefit in the next month's return ? Please clarify .

Replies (6)

Quick Summary

RCM liability must be paid in cash and reported in GSTR-3B. If the inward supply is eligible for ITC, the credit can generally be claimed in the same tax period after payment of RCM. A related query was raised on claiming ITC for RCM paid later for FY 2018-19.

Balaji.d

81 Points Posted on 17 March 2022

ITC taken same month, first RCM payed cash then take ITC taken same month also. RCM any time paid cash after taken ITC liability of payment

mantrana tsg

9 Points Posted on 17 March 2022

RCM ITC CAN BE TAKEN IN THE SAME MONTH IRRESPECTIVE OF PAYMENT IN NEXT MONTH. THIS IS BECAUSE RECEIVER OF SERVICES HAS TO GENERATE RCM INVOICE IMMEDIATELY ON RECEIPT OF SERVICE SHOWING GST. THIS DOCUMENT IS SUFFICIENT TO CLAIM ITC IN THE MONTH OF RECEIPT.

Balaji.d

81 Points Posted on 18 March 2022

When returns filled that same month take then taken itc in that month also but one condition payed cash ledger than taken ITC in same month also, sir.

CA Altamush Zafar

GST Consultant

15986 Points Posted on 19 March 2022

You can take ITC in the same month.

The condition of payment of RCM gets fulfilled because when you setoff the liabilities it simultaneously pays GST on rcm and takes ITC so therefore available.