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Form ITC 03

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sathya kumar s

Accountant

172 Points Posted on 09 May 2020

One of our client applied for composition scheme for the financial year 2020-21 but on 07-05-2020 they changed their mind and asked us if there are any way to become regular taxpayer again. Accordingly application was made to withdraw from composition scheme . Now they are regular taxpayers and they had ITC Amounting to 76,000.00 in their electronic credit ledger as on 31.03.2020. In this respect no Form ITC 03 is filed to reverse the ITC appearing in ledger after application is made for composition scheme.

Is there any need to file Form GST ITC 03 and reverse the ITC ?

All such ITC on Electronic credit ledger is of Capital Goods purchased.

Replies (3)

Quick Summary

A client withdrew from the GST composition scheme and became a regular taxpayer. They have ₹76,000 of ITC on capital goods in their ledger as of 31.03.2020 but haven't filed Form ITC 03 to reverse it. The question is whether filing Form ITC 03 is necessary to reverse this ITC, especially since it pertains to capital goods. The consensus is that filing is required for compliance.

sathya kumar s

Accountant

172 Points Posted on 11 May 2020

Someone please look into this matter

Mohit Jagnani

Professional - CA firm

352 Points Posted on 11 May 2020

Yes it is to be filled to be compliant

thanks
Mohit
8335093446

sathya kumar s

Accountant

172 Points Posted on 12 May 2020

And then Form ITC 01 to be filed to reclaim ITC on capital goods ?? It is just same right if it is not filed also because all ITC on ledger as on 31.03.2020 is of capital goods purchase.