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ITC Claimed Excess

17 January 2019

WHAT IF CLAIMS EXCESS ITC THAN WHAT SHOULD I DO?

SHOULD I DO ITC REVERSAL (OTHER)
OR
SHOW IN INELIGIBLE ITC (OTHER)

AND WHAT RATE OF INTEREST IF ITC REVESAL

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12 Replies

pritesh (CA Final student) (7101 Points)
Replied 17 January 2019

you should show itc reversal others.
interest rate is 24%

Nil Chauhan (39 Points)
Replied 17 January 2019

AND WHAT IF MY ITC REVERSAL IS MORE THAN MY CURRENT ITC DOES THE PORTAL ACCEPT NEGATIVE ITC

Sanjiv Rajpoot (3430 Points)
Replied 17 January 2019

reversed remaining itc in next 3b

pritesh (CA Final student) (7101 Points)
Replied 17 January 2019

yes portal will accept the negative figure of ITC

Nil Chauhan (39 Points)
Replied 17 January 2019

BUT ON GOOGLE IT'S SHOWING THAT U CAN REVERSE ITC THAT MUCH OF ITC AVAILABLE FOR CURRENT MONTH

Najeeb Ur Rehman (85 Points)
Replied 17 January 2019

if excess itc availed then reverse excess itc, no interest applicable but excess itc utilized or refund taken then interest applicable

Ravi SADhiyan (Practice) (4510 Points)
Replied 17 January 2019

Originally posted by : Najeeb Ur Rehman
	if excess itc availed then reverse excess itc, no interest applicable but excess itc utilized or refund taken then interest applicable

Dear Najeeb

Mentioned provision in which written that Interest is not applicable on availed ITC

Sanjiv Rajpoot (3430 Points)
Replied 19 January 2019

you can revesed in 3b

Bhaavesh Gupta (8 Points)
Replied 25 May 2019

Originally posted by : Ravi SADhiyan

Originally posted by : Najeeb Ur Rehman

if excess itc availed then reverse excess itc, no interest applicable but excess itc utilized or refund taken then interest applicable

Dear Najeeb

Section 50(3) of the CGST Act levies interest on excess ITC claimed and not excess ITC availed. The Key word in Claimed and availed. Thus ITC availed in excess but not utilised for the payment of outward liability can be reversed without the interest in GSTR 3B

Read more at: https://www.caclubindia.com/forum/itc-claimed-excess-499528.asp#reply

Mentioned provision in which written that Interest is not applicable on availed ITC

Bhaavesh Gupta (8 Points)
Replied 25 May 2019

Originally posted by : Ravi SADhiyan
	Originally posted by : Najeeb Ur Rehman if excess itc availed then reverse excess itc, no interest applicable but excess itc utilized or refund taken then interest applicable Dear Najeeb Mentioned provision in which written that Interest is not applicable on availed ITC