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Negative Net ITC under 4 (c) of Eligible ITC in GSTR 3B filed.

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vikas anand

3 Points Posted on 17 September 2021

Sir,

Our organisation has filed GSTR 3B for the month of November 2021 in which amount of ITC reversed (Rs.29,034) is more than the ITC availed (6240) resulted in negative net ITC of Rs. 22399 each (Sl No 4 - Eligible ITC) under Central Tax and State Tax. On that date we had sufficient balance of ITC in our credit but only ITC available for the month of June 21 only was taken for adjusting the ITC to be reversed. Hence the balance of Rs.22399 each remained unadjusted as on today. So I have the following question which may please be answered :-

1. As the ITC of Rs.29034 reversed has alrleady been taken in GSTR 3B filed for the month of June 21, is it correct to again reverse the balance of Rs.22399 in the future returns.

2. Otherwise how it is to be rectified.

Thanking you,

With regards,

Vikas Anand

Replies (2)

Quick Summary

This discussion concerns a situation where the Input Tax Credit (ITC) reversed in a GSTR 3B filing exceeded the ITC availed, resulting in a negative net ITC. The user is seeking clarification on whether it's correct to reverse the remaining unadjusted balance in future returns, as the initial reversal was already accounted for in a previous return. They are also inquiring about the proper method for rectification if the current approach is incorrect.