Credit note reflected in 3B

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This query is : Resolved

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A user is experiencing an issue where a credit note for rent is appearing in their GSTR-3B, negatively impacting their input tax credit. Although the original rent invoices were filed under 'ITC Non-available', the credit note is showing in the ITC section of the 3B. The user is seeking advice on how to rectify this discrepancy and avoid paying the negative ITC amount, especially since they have already paid the GST on the original invoices.

binu sukumaran

binu sukumaran (Querist)

25 February 2023 Sir.
Our main office in cochin-Kerala and branch office in Delhi. During jan 23 GST ,our Delhi rental owner file quarterly rent invoice in ITC NON available area. actual 4 month rent ,but he filed 5 rent and 1 credit note for rent. While checking 2B . Total 5 rent come in ITC NON Available and credit note for 1 rent reflected to 3b input. what is happen in the case addition on rent input already we paid come negative effected our input. while removing that credit not that show red mark in 3b.
Please advise
With regards
Binu

CA Altamush Zafar

CA Altamush Zafar (Expert)

26 February 2023 Your query is not clear. Kindly reframe your question

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binu sukumaran

binu sukumaran (Querist)

27 February 2023 sir.
Thanks for the update.
my friend doing manpower consultant in Cochin. He has rental office in Delhi.Delhi landlord using quarterly GST File . while checking jan 2B detail of this firm ,I found 5 rent are filed in "ITC Non available" area and 1 credit note of rental invoice . rent start on oct . From oct22 to jan23 4 month rent only comes .
While checking 3B , ITC area 1 rental invoice negatively affected in ITC and we need to pay that amount while filing the return.
Actual we paid CGST & SGST to landlord against their invoice , while checking 3b , one month ITC is revised is showing.
Sir, hope you will clear that is the problem.
If need more clarification please free to touch with me.
With regards
Binu

CA Altamush Zafar

CA Altamush Zafar (Expert)

27 February 2023 Since you didn't claimed ITC on the rent invoices then no need to reverse or fill negative value in ITC for credit note of the same.

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binu sukumaran

binu sukumaran (Querist)

27 February 2023 sir.
how can I over come negative impact in ITC for one month rent.other wise while check yearly such difference is show in 2B.
Please advise