REGARDING AMENDMENT TO BE MADE IN TURNOVER AND PURCHASE FIGURES WRONGLY MADE IN MONTHLY VAT RETURN

This query is : Resolved

Suresh S. Tejwani (Querist)
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24 June 2025 If wrong data of Turnover and Purchase of petroleum products are given in monthly VAT return and time limit to revise return is expired then Adjustment can directly be given in annual return?
And if excess VAT is paid in monthly return then what is the procedure to claim refund or whether such excess VAT can be setoff against future VAT liabilities?

Asha Kanta Sharma

Asha Kanta Sharma (Expert)
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12 August 2025 1. Correction after time limit of monthly VAT return revision expired:
If the time limit to revise/correct monthly VAT return has expired, you cannot revise the monthly return anymore.
Instead, adjustments can be made in the Annual VAT Return by providing the correct figures for turnover and purchases.
This is a common practice where errors are rectified cumulatively in the annual return.
2. Excess VAT paid in monthly returns:
If excess VAT was paid due to wrong figures, you have two options:
a) Setoff against future VAT liabilities:
Most VAT laws allow you to carry forward the excess VAT paid as input tax credit or advance tax and set it off against VAT payable in subsequent periods.
You need to ensure proper documentation and maintain records of the excess payment for future setoff.
b) Claim refund of excess VAT paid:
If you want to claim a refund, you must file a refund application as per the VAT rules of the state.
Refund procedures usually require:
Proof of excess payment
Reconciliation statement
Copies of returns filed
Bank details and other supporting documents
Refund claims may take time and scrutiny by VAT authorities.

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