FY 2021-22 GSTR 9 table 8C ITC Availed FY 2022-23 short shown

Hi Srinivas,

Your issue involves a mismatch between GSTR-9 Table 8C (ITC availed for FY 2021-22) and GSTR-3B for FY 2022-23 showing different ITC values. Specifically, you have short shown ITC in GSTR-9 (FY 2021-22) but the correct ITC amount is shown in GSTR-3B of FY 2022-23.

Here’s what you need to know and consider:

1. Nature of GSTR-9 and GSTR-3B

• GSTR-3B is a monthly/quarterly summary return where ITC is claimed.

• GSTR-9 is an annual return consolidating all ITC claimed during the financial year.

2. Short showing ITC in GSTR-9 Table 8C

• If ITC was not fully reported in Table 8C of GSTR-9 but was claimed in GSTR-3B, it can lead to mismatch notices.

• Table 8C of GSTR-9 should reconcile with ITC claimed in GSTR-3B returns for the year.

3. ITC claimed in the next FY (2022-23)

• Sometimes, ITC for FY 2021-22 invoices is claimed in FY 2022-23 returns due to delay in invoice receipt or other reasons.

• Such ITC should not be included in FY 2021-22 GSTR-9 but must be in the return for FY 2022-23.

• This can explain the difference you see.

Recommendations:

• Verify invoice dates: Ensure ITC claimed in FY 2022-23 pertains to FY 2022-23 invoices.

• Check ITC reversal/availability: Sometimes ITC reversals or blocked ITC affect the values.

• Use GSTR-9C reconciliation: The audit reconciliation report will help identify mismatches and reasons.

• If ITC is genuinely short shown in GSTR-9 of FY 2021-22:

  • File a rectification or revised return if allowed.

  • Else, disclose the mismatch and be prepared to explain in case of any inquiry.

Case Study Insight:

• In many cases, taxpayers find mismatch because of timing differences in claiming ITC.

• The GST portal also allows adjustments in subsequent returns, which may show in later FY filings.

• Proper documentation and audit trail are key for defending mismatches.