Sec 16(2) - payment after 180 Days
This query is : Resolved
26 May 2022
Dear Expert,
As per sec 16(2) proviso - If recipient fails to pay to supplier within 180 Days from the date of issue of invoice by supplier, ITC has to be reversed with interest.
My query is :
Will it be applicable in case of Debit Note (not Invoice) raised by supplier in Sep-21 but submitted to recipient in May-22 (after 180 Days).
Is recipient eligible to avail ITC on such supplementary as 180 days time limit crossed ?
Pls clear my ambiguity on sec 16(2) and Sec 16(4) -
As per sec 16(4) ITC is eligible till Nov-22 for bills related to FY 21-22.
As per sec 16(2) proviso - If recipient fails to pay to supplier within 180 Days from the date of issue of invoice by supplier, ITC has to be reversed with interest.
My query is :
Will it be applicable in case of Debit Note (not Invoice) raised by supplier in Sep-21 but submitted to recipient in May-22 (after 180 Days).
Is recipient eligible to avail ITC on such supplementary as 180 days time limit crossed ?
Pls clear my ambiguity on sec 16(2) and Sec 16(4) -
As per sec 16(4) ITC is eligible till Nov-22 for bills related to FY 21-22.
26 May 2022
As per the proviso, if the recipient fails to make payment for the supply within 180 days from the date of invoice/debit note, the recipient has to reverse the ITC availed. Again if the recipient makes payment for the said supply, after 180 days, he can take ITC on payment to such supplies.
In your case, you have received the debit note in May 2022, raised in Sep-21. The ITC of such debit note can be taken till November 30th 2022, after making payment for the same.
In your case, you have received the debit note in May 2022, raised in Sep-21. The ITC of such debit note can be taken till November 30th 2022, after making payment for the same.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- GSTR-1A How to update Invoice
- Excess salary payment.
- TDS on Purchase of Immovable Property by NRI from NRI
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- Capital gain from sale of house property
- Stamp Paper for partnership firm change new income tax 2025
- SFT Cash Deposit in Current Account
- Value of property in capital gain
- When TDS on GST applied
- TDS APPLICABILITY......
- Copyright software
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
