Itc wrong taken in f.y 2017-18, csgt and sgst taken instea
This query is : Resolved
27 August 2019
Sir
In the march 2018, I take the wrong credit, I have to utilisation IGST but Taken CGST AND SGST in GSTR 3B and adjust the liability and remaing amount paid by CASH ledger and settled our output liability Now when we are filling GSTR 9, mismatch INPUT CREDIT, NOW HOW CAN RECTIFY WITHOUT PAYMENT, IF WE PAY THEN MY JOB WILL LOSS.
In the march 2018, I take the wrong credit, I have to utilisation IGST but Taken CGST AND SGST in GSTR 3B and adjust the liability and remaing amount paid by CASH ledger and settled our output liability Now when we are filling GSTR 9, mismatch INPUT CREDIT, NOW HOW CAN RECTIFY WITHOUT PAYMENT, IF WE PAY THEN MY JOB WILL LOSS.
28 August 2019
If you have IGST purchase in 2018-19 as well show IGST credit taken in 2018-19 and reverse the CGST and SGST input credit wrongly taken through DRC-03 in credit ledger.
29 August 2019
No I have not any purchase local and interstate out project has finished and handover to client no purchase and sale in f/y 2018-19, we are filling nil return from march 18 onward, please help me
02 August 2024
If you have claimed the wrong Input Tax Credit (ITC) for FY 2017-18 by taking CGST and SGST instead of IGST and now you are facing mismatches in your GSTR-9, here’s a structured approach to rectify the situation without making additional payments:
### **1. Understanding the Issue**
- **Wrong ITC Claimed:** You claimed CGST and SGST when you should have claimed IGST. This mismatch has led to discrepancies in your GSTR-9 reconciliation.
- **No Sales/Purchases in FY 2018-19:** You have not made any purchases or sales in FY 2018-19, and you have been filing nil returns.
### **2. Rectification Steps**
#### **A. Self-Assessment and Reconciliation**
1. **Reconcile ITC Records:**
- Review the ITC claimed for FY 2017-18 and compare it with your actual tax liabilities and GST returns.
- Ensure you have accurate documentation of the wrongly claimed credits and the correct IGST that should have been claimed.
2. **Verify the Amount:**
- Calculate the total amount of CGST and SGST wrongly claimed and compare it with the IGST that should have been claimed.
#### **B. Rectification in GSTR-9**
1. **GSTR-9 Filing:**
- In GSTR-9 for FY 2017-18, you need to disclose the incorrect ITC claim and make the necessary adjustments.
- Report the excess CGST and SGST in Table 10 of GSTR-9 as ITC reversal. If Table 10 does not allow for negative entries, report the excess credit in Table 12 as adjustments.
2. **Table 10: ITC Reversal:**
- You can record the ITC amount wrongly claimed (CGST and SGST) in Table 10 under the section for ITC reversal.
3. **Table 12: Other Reversals:**
- If necessary, use Table 12 to mention any adjustments or additional information related to ITC adjustments.
#### **C. No Additional Payment Needed**
1. **Utilize Available Credit:**
- Ensure that you use any available ITC balance in the cash ledger or ITC ledger effectively to settle any potential liabilities.
- If you have correctly accounted for the liability by adjusting the cash ledger, you may not need to make additional payments.
2. **Nil Returns Filing:**
- Continue filing nil returns if you have no further transactions and ensure that all your records are accurate and up-to-date.
#### **D. Communicate with Tax Authorities**
1. **File an Application:**
- If discrepancies persist, you might consider filing an application with the GST authorities for a rectification of the mismatch. Provide a detailed explanation of the error and steps taken to rectify it.
2. **Contact GST Helpline:**
- Reach out to the GST helpline or consult with a GST practitioner for advice on how to handle the mismatch and possible solutions.
### **3. Documentation and Compliance**
1. **Maintain Records:**
- Keep detailed records of all communications, adjustments, and rectifications made.
- Ensure that you have proof of the correction steps and any correspondence with the tax authorities.
2. **Review GST Returns:**
- Regularly review your GST returns and ITC claims to avoid similar issues in the future.
### **Summary:**
- **Self-Reconcile and Adjust:** Reconcile the ITC records and make necessary adjustments in GSTR-9.
- **Report in Returns:** Use GSTR-9 to disclose and rectify the incorrect ITC.
- **Avoid Additional Payment:** Ensure correct utilization of ITC balance and adjust any discrepancies.
- **Consult Authorities:** If needed, consult with GST authorities or a tax professional for further guidance.
By following these steps, you should be able to rectify the ITC mismatch and address the issue without incurring additional costs.
### **1. Understanding the Issue**
- **Wrong ITC Claimed:** You claimed CGST and SGST when you should have claimed IGST. This mismatch has led to discrepancies in your GSTR-9 reconciliation.
- **No Sales/Purchases in FY 2018-19:** You have not made any purchases or sales in FY 2018-19, and you have been filing nil returns.
### **2. Rectification Steps**
#### **A. Self-Assessment and Reconciliation**
1. **Reconcile ITC Records:**
- Review the ITC claimed for FY 2017-18 and compare it with your actual tax liabilities and GST returns.
- Ensure you have accurate documentation of the wrongly claimed credits and the correct IGST that should have been claimed.
2. **Verify the Amount:**
- Calculate the total amount of CGST and SGST wrongly claimed and compare it with the IGST that should have been claimed.
#### **B. Rectification in GSTR-9**
1. **GSTR-9 Filing:**
- In GSTR-9 for FY 2017-18, you need to disclose the incorrect ITC claim and make the necessary adjustments.
- Report the excess CGST and SGST in Table 10 of GSTR-9 as ITC reversal. If Table 10 does not allow for negative entries, report the excess credit in Table 12 as adjustments.
2. **Table 10: ITC Reversal:**
- You can record the ITC amount wrongly claimed (CGST and SGST) in Table 10 under the section for ITC reversal.
3. **Table 12: Other Reversals:**
- If necessary, use Table 12 to mention any adjustments or additional information related to ITC adjustments.
#### **C. No Additional Payment Needed**
1. **Utilize Available Credit:**
- Ensure that you use any available ITC balance in the cash ledger or ITC ledger effectively to settle any potential liabilities.
- If you have correctly accounted for the liability by adjusting the cash ledger, you may not need to make additional payments.
2. **Nil Returns Filing:**
- Continue filing nil returns if you have no further transactions and ensure that all your records are accurate and up-to-date.
#### **D. Communicate with Tax Authorities**
1. **File an Application:**
- If discrepancies persist, you might consider filing an application with the GST authorities for a rectification of the mismatch. Provide a detailed explanation of the error and steps taken to rectify it.
2. **Contact GST Helpline:**
- Reach out to the GST helpline or consult with a GST practitioner for advice on how to handle the mismatch and possible solutions.
### **3. Documentation and Compliance**
1. **Maintain Records:**
- Keep detailed records of all communications, adjustments, and rectifications made.
- Ensure that you have proof of the correction steps and any correspondence with the tax authorities.
2. **Review GST Returns:**
- Regularly review your GST returns and ITC claims to avoid similar issues in the future.
### **Summary:**
- **Self-Reconcile and Adjust:** Reconcile the ITC records and make necessary adjustments in GSTR-9.
- **Report in Returns:** Use GSTR-9 to disclose and rectify the incorrect ITC.
- **Avoid Additional Payment:** Ensure correct utilization of ITC balance and adjust any discrepancies.
- **Consult Authorities:** If needed, consult with GST authorities or a tax professional for further guidance.
By following these steps, you should be able to rectify the ITC mismatch and address the issue without incurring additional costs.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- 15ca /15cb whose income tax login? remitter or nri seller's login?
- GST on export of services and Input Credit
- ITC temporary reversal and reclaim
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- TDS U/S. 194NF
- Regarding Documentation & Compliances for Opening of Unit of Pvt Ltd.
- Applicable TDS rate for sale of property in Nov 2024
- RCM INVOICING FROM NOV-2024
- Import license renewal
- How to determine cost of acquisition of shares on De-merger or Merger
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding einvoice taken on nil rated sales
Trending Online Classes
CAclubindia
