Save Rs 588 on a 2-Year Ad-Free CAclubindia Pro Membership. Subscribe Now!

Inadmissible itc sec 16(4)

559 views

Save Share

Join Us Follow Us Add as Source

Sachin Bhor

Article Assistant

22 Points Posted on 23 January 2020

inadmissible itc please guide

Replies (2)

Quick Summary

Section 16(4) of the CGST Act 2017 outlines crucial restrictions for claiming Input Tax Credit (ITC). It specifies that ITC for a financial year must be claimed by the due date of the GSTR-3B return for September following the financial year's end, or by the annual return filing date, whichever comes first. This ensures ITC is claimed within the stipulated timeframes and prevents misuse.

arun gowtham

student

103 Points Posted on 23 January 2020

As per section 16(4) The last date for taking Input Credit for the FY, Filing the GSTR 3B return For the month of October Or Annual Return (i.e GSTR-9) Whichever is earlier.

PrabuSubramanianThangavelpilai

CA Article Assistant

91 Points Posted on 23 January 2020

ITC is made with adequate restrictions and conditions to avoid superfluous availment of ITC.

One such condition is imposed under Sec 16(4) of CGST Act 2017, that the last date for taking the input tax credit in respect of any invoice or debit note pertaining to a financial year is the due date of furnishing of the return under Section 39 for the month of September following the end of the financial year or furnishing of the relevant annual return, whichever is earlier.