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How ineligible itc will check?

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Anshul

nothing

103 Points Posted on 16 January 2021

If I have taken ineligible itc then at the time of assessment how gst department will check that I have taken wrong itc because they have so many assesment to complete and is it possible to check single single invoices for every assessee?

kya wo ek ek bill dekhenge ager nahi to kese pata karenge ki ineligible itc hai?
agar main aaj le bhi leta hu?

Replies (2)

Quick Summary

This discussion explores how the GST department identifies ineligible Input Tax Credit (ITC) claims during assessments. While checking every single invoice for every assessee might be impractical, the department likely uses established procedures and dealer data. They can cross-reference claims against Section 17(5) of the GST Act, which defines blocked credits, to determine if ITC was wrongly availed on ineligible expenses. It's advised to claim ITC fairly to prevent future complications.

Thiyagarajan Kandasamy

132 Points Posted on 16 January 2021

As per sec 17 (5) blocked credit there is defined ineligible credit, so if any officers visited first the check ineligible expenses books whether ITC availed or not, so check sec 17 (5)