GST Portal Enables Taxpayers to File Rectification Applications for ITC Demand Orders u/s 73/74

Last updated: 08 January 2025

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The GST portal has introduced a new functionality allowing registered persons to file rectification applications for demand orders concerning the incorrect availment of Input Tax Credit (ITC). This is applicable when ITC was previously denied due to contravention of Section 16(4) but is now available under the newly inserted Sections 16(5) and/or 16(6) of the Act. Taxpayers can access this feature by logging into the portal and navigating through 'Services > User Services > My Applications'.

Sub: Enabling filing of Application for Rectification as per Notn. 22/2024-CT, dtd. 08/10/24, 2024

GST Portal: File ITC Demand Order Rectification Applications

The Central Government, on the recommendations of the 54th GST Council, had issued Notification No. 22/2024 - CT dated 08.10.2024 and notified that any registered person against whom any order confirming demand for wrong availment of ITC, on account of contravention of provisions of sub-section (4) of section 16 of the said Act had been issued, but where such ITC is now available as per the recently inserted sub-sections (5) and/or (6) of section 16 of the Act, would now be able to file an application for rectification of such demand orders.

A functionality has now been made available on the Portal for taxpayers to file an application for rectification of such orders issued under section 73/74. They can file it, post login, by navigating Services > User Services > My Applications, selecting "Application for rectification of order" in the Application Type field, and clicking on the NEW APPLICATION button. A hyperlink has also been provided on the Portal to download the proforma in Annexure A in word format, required to be uploaded after entering details of the demand order of the ITC wrongly availed on account of contravention of sub-section (4) of section 16 of the CGST Act, now eligible as per sub-section (5) and/or (6) of section 16 of the CGST Act, while filing the application for rectification.

Please click on: https://tutorial.gst.gov.in/downloads/news/step_by_step_process_filing_rectification_application.pdf to view detailed step by step process on filing of rectification application.

FAQ :

The GST portal now allows taxpayers to file applications for rectification of demand orders issued under sections 73/74, specifically for cases of wrong availment of Input Tax Credit (ITC).

Registered persons who have received an order confirming a demand for wrong ITC availment due to contravention of Section 16(4), but where such ITC is now available under Sections 16(5) or 16(6), can file this application.

After logging in, taxpayers should navigate to 'Services > User Services > My Applications', select 'Application for rectification of order' as the Application Type, and click 'NEW APPLICATION'.

Yes, a proforma in Annexure A (in word format) needs to be downloaded from the portal, filled with the relevant details, and uploaded while filing the rectification application.

A detailed step-by-step process guide is available via a hyperlink on the GST portal, which can be accessed at https://tutorial.gst.gov.in/downloads/news/step_by_step_process_filing_rectification_application.pdf.

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