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Adjustment of liablity in annual return

10 August 2020

If we short paid of IGST 5000 on outward supply and we have 10000 IGST ITC which not claimed in GSTR 3B so can we adjust this liability with that kind of liability in annual return ?

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4 Replies

CA Sunil Kumar (Chartered Accountant) (4514 Points)
Replied 10 August 2020

No you cannot adjust IGST liability with missed ITC in annual report as any missed out credit of the last FY year has to be availed in the GSTR-3B of the month of September . There is no provision for availment of credit in the Annual Return. ... Hence, only those credits which have been availed in the same financial year should be considered as part of input tax credit.

1 Like

Akmal Jameel (35 Points)
Replied 10 August 2020

How will be missed ITC treat ?

Pankaj Rawat (GST Practitioner) (55032 Points)
Replied 12 August 2020

Lapsed & can be transferred to Direct Expenses .

Bhavika Kothari (CA) (1258 Points)
Replied 14 August 2020

You cannot adjust any liability in annual return. If there is any unclaimed ITC then it is lost. For any unpaid liability you can pay it through DRC-03