INPUT CREDIT NON PAYMENT WITHIN 180 DAYS

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This query is : Resolved

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This discussion concerns the reversal of Input Tax Credit (ITC) under GST for suppliers not paid within 180 days for FY 2017-18 and 2018-19. Although payments were eventually made (within 240 days), audit officers have issued show cause notices for ITC reversal. The core question is whether this ITC can be re-credited once the supplier payments are settled and what sections of the GST Act apply.

S. RAVICHANDRAN

S. RAVICHANDRAN (Querist)
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23 November 2023 The payment for the suppliers not made within 180 days as per the GST Act for the FY 2017-18 and 2018-19. The payments were made after 180 days. Now the Audit officers issued the SCN to reversal of ITC for the non payment of suppliers within 180 days. But the payments already paid after 180 days (within 240 days). As on date there is no pending for the said years.
Please let me know if reversed the ITC for non payment within 180 days and the same is eligible for recredit after made the payment to suppliers.
Please clarify