Live Course on Drafting of Appeal and Reply of Penalty Notice by CA Sachin Sinha. Register Now!!

Reversal of Blocked ITC availed and utilize

Abhijit Khan (39 Points)

29 March 2022

how do i reverse and is there any interest...?
if any interest come then in which %...?

Reply
Follow
Share

4 Replies

prasad Nilugal ( GST Practitioner & Accounts ) (14221 Points)
Replied 29 March 2022

If you wrongly availed and utilise blocked input tax credit , then you have reverse the same in , Table 4( B)(2) of the GSTR3B . Interest applicable @ 24% as per section 50(3) of the CGST act .

1 Like

Abhijit Khan (39 Points)
Replied 29 March 2022

Thank You sir....

prasad Nilugal ( GST Practitioner & Accounts ) (14221 Points)
Replied 29 March 2022

I think interest is @ 18% , So please confirm . Interest is 18% or 24% with CBIC help desk or with others .

CA Altamush Zafar (GST Consultant) (15921 Points)
Replied 29 March 2022

If ITC is claimed the same has to be reversed. Reversal can be done through GSTR-3B or DRC-03. If ITC has not been used then there is no interest. If ITC was utilised then interest @ 18% is chargeable.