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Filing GSTR 3B without considering GSTR2B.

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Chirag Mehta

43 Points Posted on 08 December 2020

Hello,

I've been filing GSTR3B without having look at eligible ITC from GSTR2B.

On comparing I found that I've claimed more ITC than shown in 2B.

However, I've valid invoices based on which I'm filing returns.

I guess I'm not being complaint.

Now what should be done so that everything can be on same page.

with 2B coming into play, ITC reconciliation with acc. software has messed up bcoz we now need to go back to older invoice where ITC is not claimed during filing month but see data in next consecutive return.

Awaiting reply from the community.

Thanks.

Replies (3)

Quick Summary

This discussion addresses the common issue of filing GSTR 3B without reconciling with GSTR 2B, leading to discrepancies in claimed Input Tax Credit (ITC). While having valid invoices is crucial, claiming ITC beyond what's reflected in GSTR 2B can raise compliance concerns. The conversation touches upon the 10% ITC rule and the legal precedent that allows claiming ITC with valid invoices even if the supplier hasn't paid the tax. It highlights the challenges of ITC reconciliation with accounting software due to the evolving nature of GSTR 2B.

Bhavika Kothari

1012 Points Posted on 11 December 2020

You can claim extra if you have valid invoices there is no issue in it. Only thing that you need to check is the extra amount should not be more than 10% of the available ITC

Know more about the 10% ITC Rule

APURBA CHATTERJEE

QUALIFIED CHARTERED ACCOUNTANT

398 Points Posted on 12 December 2020

In the case of Assistant Commissioner (CT), presently Thiruverkadu Assessment Circle, Kolathur, Chennai Vs. Infiniti Wholesale Ltd., reported in [2017] 99 VST 341 (Mad), wherein it has held that Input Tax Credit cannot be disallowed on the ground that the seller has not paid tax to the Government, when the purchaser is able to prove that the seller has collected tax and issued invoices to the purchaser.

Chirag Mehta

43 Points Posted on 12 December 2020

@ bhavika kothari : I'm not considering 10% ITC rule as well. As a person managing both business and accounting it becomes cumbersome to get hold of each and every rule. however at end of quarter my ITC is almost same as what filed by suppliers and what I report.