Availment of ITC of differential IGST paid post customs scrutiny and notice

If you've paid differential IGST (Integrated Goods and Services Tax) post-customs scrutiny and notice, here's a step-by-step guide to avail ITC (Input Tax Credit): 1. _Verify the notice_: Ensure the notice is genuine and the differential IGST amount is correct. 2. _Pay the differential IGST_: Pay the differential IGST amount mentioned in the notice. 3. _Obtain a receipt_: Get a receipt or acknowledgement from the customs authorities for the payment made. 4. _Update your records_: Record the payment details, including the date, amount, and receipt number. 5. _File GSTR-3B_: Report the differential IGST payment in your GSTR-3B return for the relevant month. 6. _Claim ITC in GSTR-3B_: Claim the ITC for the differential IGST paid in the same GSTR-3B return. 7. _Maintain documentation_: Keep all relevant documents, including the notice, receipt, and GSTR-3B returns, for future reference. 8. _Consult a tax expert_: If you're unsure or face any issues, consult a tax expert or chartered accountant for guidance. Remember to claim the ITC in the same tax period in which the differential IGST was paid to avoid any potential losses.

If a penalty is imposed by customs authorities it could be deemed as a fraud case. Otherwise it will not get hit by the restriction.This is the logic adopted by AAR Chennai in case of Mitsubishi Electric Private limited petition.

https://gstchennai.gov.in/images/pdf/advance-ruling-under-gst/TN_116_AAR_2023_Mitsubushi_Electric_India_Pvt_Ltd.pdf