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

Issue of credit

286 views

Save Share

Join Us Follow Us Add as Source

Ronak Barai

Article

35 Points Posted on 20 November 2021

Dear Sir/Madam,

I have one query regarding GST Input tax credit.

The issue is that on my client's online gstr 2b statement there are reflection of bill of party of whom client had not made any payment till now. And now my client also not want to pay the amount to supplier in against of this invoices. So as per the law we have suggested to not to claim credit on that bills in current month and ask supplier to raise credit not in the next month regarding the invoices. So I just want to confirm from your side that is there any discrepancies arises due to not claiming ITC? Or We have to do something from client side in next month when they uploading credit note?

Kindly assist in this matter as per law..

Thanks in advance

Replies (2)

Quick Summary

This discussion addresses a query about GST Input Tax Credit (ITC) where a client's GSTR-2B shows bills for which payment hasn't been made and the client now wishes to avoid payment. The advice given is that if ITC hasn't been claimed on these bills, no further action is needed. However, if ITC was previously claimed, it must be reversed. The user is also seeking clarification on how to handle credit notes in the following month.