How to Return ITC Claimed for Lost Goods ?

Pass entry

Goods Lost. A/c Dr
To purchase A/c Cr
To CGST A/c Cr
To SGST A/c Cr
( Being goods lost by Amazon)

You Can not claim input tax credit , as it is blocked credit as per section 17(5)(h) of the CGST act 2017. reverse as above in the books . If you have claim in GSTR3B please reverse it.

Thank you

Also reduce lost stock from Stock Journal .

ITC is blocked as per section 17(5)
Goods lost Ac Dr
To purchase Ac Cr
To Cgst ac cr
To sgst Ac cr

Regards
Amit Rathore

www.rathoretaxconsultant.com