Rule 37 of CGST/SGST Rules: ITC Reversal on Non-Payment Within 180 Days
This query is : Resolved
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NIRMAL DAVE
(Querist)
01 July 2025
Dear All,
Mr. A purchases goods from Mr. B and also sale goods to Mr. B
Mr. A pay to Mr. B after adjusting sale amount against purchase consideration.
Can Mr. A take Input tax credit of purchase made from Mr. B. (i.e. without actual payment of full consideration) in such case?
Do Mr. A has to maintain and settle purchase account separately from sale account to claim input tax credit?
Thanks & Regards
Nirmal Dave
Mr. A purchases goods from Mr. B and also sale goods to Mr. B
Mr. A pay to Mr. B after adjusting sale amount against purchase consideration.
Can Mr. A take Input tax credit of purchase made from Mr. B. (i.e. without actual payment of full consideration) in such case?
Do Mr. A has to maintain and settle purchase account separately from sale account to claim input tax credit?
Thanks & Regards
Nirmal Dave
Dhirajlal Rambhia
(Expert)
02 July 2025
1. Yes.
2. Yes, both to be maintained separately. Only the payment gets adjusted.
2. Yes, both to be maintained separately. Only the payment gets adjusted.
NIRMAL DAVE
(Querist)
02 July 2025
Thank You Sir for your valuable reply.
Dhirajlal Rambhia
(Expert)
03 July 2025
You are welcome.
Dhirajlal Rambhia
(Expert)
27 September 2025
Good luck..
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