As per Section 16(2)CGST act.
Where a recipient fails to pay to the supplier of goods or services or both, other than the supplies on which tax is payable on reverse charge basis, the amount towards the value of supply along with tax payable theron within a period of 180 days from the date of issue of invoice by the supplier, an amount equal to the input tax credit availed by the recipient shall be added to his output tax liability, along with interest thereon, in such manner as may be prescribed.
As per above act says we need to add the tax liability in output tax liability i.e GST payable.
As per GST rule 37-reversal of ITC in the case of non payment of consideration :
A registered person, who has availed of ITC on any inward supply of goods or services or both, but fails to pay to the supplier thereof, the value of such supply along with the tax payable thereon, within the time limit specified in the second proviso to sub section 2 of section 16, shall furnish the details of such supply, the amount of value not paid and the amount of ITC availed of proportionate to such amount not paid to the supplier in FORM GSTR 2 for the month immediately following the period on 180 days from the date of issue of the invoice.
The above GST rule says the details of non payment of consideration shall be furnished in GSTR 2, but still now GSTR 2 not available.
Please guide me to handle this issues and how to treat this issues?
both issues are correlated
1. Reversal of ITC taken after expiry of 180 days which related to monetary nature
2. Furnishing of details which is procedural part
you have taken care of both but till the time GSTR 2 is enabled you have liberty on that ...yes u must have reverse ITC other wise on assessment it would part of litigation..
CAclubindia
