I WAS WRONGLY CLAIMED ITC FOR A CAPITAL GOODS IN GSTR 3B , HOW TO RECTIFY THAT ITC IN FUTURE GSTR 3B?
21 Replies
RAJA P M
("Do the Right Thing...!!!")
(128091 Points)
Replied 05 December 2019
You can reverse the wrongly claimed ITC with Interest...
prasad Nilugal
( GST Practitioner & Accounts )
(14801 Points)
Replied 05 December 2019
When ?. what is the date of Invoice , you wrongly Claim ITC .
SOWJANYA M
(840 Points)
Replied 05 December 2019
@ raja if reversal of ITC is done then calculation of interest is applicable?
if wrong ITC on November taken, then reversal of input will be done in December. if so what will be interest calculation?
if wrong ITC on November taken, then reversal of input will be done in December. if so what will be interest calculation?
RAJA P M
("Do the Right Thing...!!!")
(128091 Points)
Replied 05 December 2019
If availed 10k ITC wrongly then it will be reverse and interest will be payable on 10k amount @ 24%...
@ Mrs. SOWJANYA.,
Are You a senior citizen or Super Senior...?!
@ Mrs. SOWJANYA.,
Are You a senior citizen or Super Senior...?!
MURALIDOSS
(INCOME TAX PRACTITIONER)
(1329 Points)
Replied 05 December 2019
In this case for the month of May 19 GSTR 3B mistakenly claimed input tax for capital goods considered salable item. But GSTR 1 NOT filed so far, can I file the correct amount now?
Pankaj Rawat
(GST Practitioner)
(55052 Points)
Replied 06 December 2019
Dear Muralidoes
You have wrongly availed the ITC :
1.Reverse the same in current gstr 3b & Pay interest on same @ 24% (As per section 50 CGST act)
or
2. No need to reverse in GSTR 3B of current month ,can be paid in cash ledger & file DRC 03 online
Yes file your GSTR1 correctly. (Nothing to do with wrongly claimed ITC)
You have wrongly availed the ITC :
1.Reverse the same in current gstr 3b & Pay interest on same @ 24% (As per section 50 CGST act)
or
2. No need to reverse in GSTR 3B of current month ,can be paid in cash ledger & file DRC 03 online
Yes file your GSTR1 correctly. (Nothing to do with wrongly claimed ITC)
RAJA P M
("Do the Right Thing...!!!")
(128091 Points)
Replied 06 December 2019
@ Mr Pankaj Rawat Ji.,
Why it's under DRC 03???
Why it's under DRC 03???
MURALIDOSS
(INCOME TAX PRACTITIONER)
(1329 Points)
Replied 06 December 2019
Pankaj sir,
I have no Credit in my ledger at present. That ITC I was wrongly claimed (i.e 9000/- + 9000/--) and declared also sold in the same month. It means I take 18000/- ITC and sold also 110000/- +( 9800+9800) .
So, now I have to pay interest for the ITC AMOUNT (18000) OR (19800) ? Also that mistake was May month 19. Now June and July only file August Not filed GSTR 3B .How to do? please....
18000 x24% =4320/12 x ????.
RAJA P M
("Do the Right Thing...!!!")
(128091 Points)
Replied 06 December 2019
Bro,
You are wrongly claim ITC 18000. If You are not claimed or entered in ITC column then You will pay Rs. 19600. Right. Now, You only paid rs. 1600.. right...
Then You must be Paid reverse (or paid0 with Interest @ 24% for the amount Rs. 18000
If it's may then
18000 x 24% / 365 x No.of days (upto date or when you date of pay)
Pankaj Rawat
(GST Practitioner)
(55052 Points)
Replied 07 December 2019
@ Sh Raja ji
As per Section 73 read with Rule 142 of CGST Act , Excess claim ITC can pay in cash by filing DRC 03 , moreover many circular being issued ie 94/2019, 71/2018, 58/2018 etc where any reversal of ITC is to be done , have to file DRC 03.
So you have option either reverse it in 3B or can file DRC 03
As per Section 73 read with Rule 142 of CGST Act , Excess claim ITC can pay in cash by filing DRC 03 , moreover many circular being issued ie 94/2019, 71/2018, 58/2018 etc where any reversal of ITC is to be done , have to file DRC 03.
So you have option either reverse it in 3B or can file DRC 03
RAJA P M
("Do the Right Thing...!!!")
(128091 Points)
Replied 07 December 2019
Okay Thank You for the Reference Dear Mr Pankaj Ji...
The said formalities may be apply into any periods...? no need considering in GSTR 3B...?
means
if I excess claim in March and will reverse in April...?
or
Excess claim in October and will reverse in November...?
is it applicable to sales values missed in previous years or current years...?
Also why about if a dealer (& composition dealer ) missed sales value in FY 18-19...?
The said formalities may be apply into any periods...? no need considering in GSTR 3B...?
means
if I excess claim in March and will reverse in April...?
or
Excess claim in October and will reverse in November...?
is it applicable to sales values missed in previous years or current years...?
Also why about if a dealer (& composition dealer ) missed sales value in FY 18-19...?
Pankaj Rawat
(GST Practitioner)
(55052 Points)
Replied 07 December 2019
Dear Mr Raja Ji.
The Tax payer has both option Either reverse in 3B or Pay by DRC 03 , the same has been suggested in my reply above
Yes if FY is changed any ITC need to reverse pertaining to previous fy then in my view (Strongly recommend) that should reverse by filing DRC 03.
Because else you need prepare reco statement for FY
The Tax payer has both option Either reverse in 3B or Pay by DRC 03 , the same has been suggested in my reply above
Yes if FY is changed any ITC need to reverse pertaining to previous fy then in my view (Strongly recommend) that should reverse by filing DRC 03.
Because else you need prepare reco statement for FY
RAJA P M
("Do the Right Thing...!!!")
(128091 Points)
Replied 07 December 2019
Yes... I see the reply & recommend by you...
What about the sale values as per my query for both regular & composition?
why it's not through GSTR 3B?
What about the sale values as per my query for both regular & composition?
why it's not through GSTR 3B?
Pankaj Rawat
(GST Practitioner)
(55052 Points)
Replied 07 December 2019
***both fy
Yes , for sale value also can file DRC 03 (both regular & Composition) as we does in Annual Return
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