ITC unavailable

This discussion addresses a client's inability to claim Input Tax Credit (ITC) for April 2021 because their supplier filed GSTR-1 after the due date. The consensus is that while the 105% cap on ITC under Rule 36(4) was relaxed for April and May 2021, allowing ITC to be claimed as per books, the ITC itself would reflect in a later month. Although the invoice can typically be availed within six months, the advice suggests claiming the unavailed April ITC in May or June. For the period of April to June 2021, ITC availability should be checked cumulatively against GSTR-2B, with any discrepancies reversed in the June return.