Hi,
I have a query regarding the CGST Rule 36(4) of CGST Act 2017 and the query is as below:
Suppplier Invoice Date = 31-Dec-2020
ITC = 20,00,000/- (20 lakhs)
GSTR1 filed by Supplier for Dec-2020 on 05-Jan-2021
Eligible ITC as per GSTR2B for Dec-2020 = 20 lakhs
Material Reaches the GST Holder on 25-Jan-2021
Since the material was not in Warehouse for Purchase he cannot take the ITC for the same. (Query1- Can the GST Puchaser take Credit of material based on GSTR2B even if material is in Transit)
Assuming GST Holder cannot take input Credit for material in Transit
Now in GSTR3B for Dec-2020 filed by GST Purchaser and Input Claimed is ZERO but GSTR2B shows eligible ITC = 20 lakhs
Now in Month of Jan-2021 the Purchaser does not make any purchase
So Eligible ITC for Jan-2021 as per GSTR2B = 0
Now can the Purchaser take Credit of the 20 lakhs from previous Month or Not.
And if the GSTIN holder takes the credit of 20lakhs in Jan-2021 then would that be a Contravention of the Rule 36(4) of CGST Act 2017 or is it Admissible as per law
In the above query 2 rules of the CGST Act 2017 seems to be conflicting each other.
If a GSTIN holder takes the credit as per the GSTR2B then the person is contravening the condition of holding the material
IF a GSTIN holder takes the credit in the Month of Jan-2021 then the person is contravening the Rule 36(4) of CGST Act 2017
Suppose the GSTIN holder tries to follow both the rules and does not make any purchase for the next 24-months and if the
ITC is not available in all the months then would the ITC for that person get lapsed since we cannot take ITC for more than 6-months or 1 year old invoices.
Please clarify what the GSTIN holder is supposed to do?
CAclubindia
