Debit note issued to supplier

PLEASE HELP EXPERTS I need to know since there are rumors that there will be hard locking in gstr3b table 4(A)5 of gst soon

This is a known reconciliation problem under the GST 2.0 IMS workflow. Here is what happened and how to correct it:

WHAT HAPPENED:

Month 1

You issued debit note and voluntarily reduced ITC in GSTR-3B Table 4(A)(5). Correct action at the time.

Month 2

Supplier filed a credit note. You accepted it in IMS. Because you accepted it, the credit note flows into your GSTR-2B for Month 2, which automatically reduces the ITC available in your GSTR-2B statement. The system does not know you already accounted for this in Month 1.

RESULT: You have effectively reversed the ITC twice for the same transaction.

HOW TO CORRECT IN MONTH 2 GSTR-3B: In Month 2's GSTR-3B, the GSTR-2B will show reduced ITC. Do NOT further reduce ITC in Table 4(A)(5) for this transaction. Instead, you need to ADD BACK the amount that was already adjusted in Month 1, so that your net ITC position across both months is correct.

The mechanism: In Month 2 GSTR-3B Table 4(A)(5), show the GSTR-2B figure as-is (which already reflects the credit note). Then in any adjustment column available, or in your working sheet, document that Month 1 already had a manual reduction for this exact transaction, so no further reduction is needed in Month 2.

PRACTICAL STEP: Calculate net ITC across both months. If Month 1 ITC was Rs X, you reduced by Rs Y (debit note). Month 2 GSTR-2B shows a further reduction of Rs Y (credit note). Your total reduction has been Rs 2Y. The correct total reduction should be Rs Y only. The fix is to add Rs Y back in Month 2 GSTR-3B so the net is correct.

Keep documentation of both the debit note and the supplier credit note reference numbers to support any scrutiny.

For a full guide on ITC adjustments under GST 2.0 IMS and GSTR-2B reconciliation: https://www.taxgarden.in/blog/gst-2-itc-reconciliation-sme-pain-points-2026

I agree with your flow of things to add back the debit note value in 4(a)5 but after hardlocking this wouldn't be possible so post July advise how to setoff this double itc reduction