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Input tax credit.

20 December 2020

Hello

My input as per invoice is 8500 and as per 2A is 3000.

it is due to because many supplier have opted for quarterly return.

I should go with actual or as per 2A.

please assist.

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10 Replies

JATINDER KUMAR (Accountant) (3662 Points)
Replied 20 December 2020

As per 2A, you can claim ITC of Rs. 3000 + 10% of 3000 = 300

You can claim ITC - Rs. 3300

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RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 20 December 2020

You can go with Your actual...

1 Like

Vikas Chauhan (206 Points)
Replied 20 December 2020

Will there be any penalty if I go with actual

Mohanraj J (1178 Points)
Replied 20 December 2020

Hello Raja Sir, Good Evening. Our company's actual ITC is 3 Lakh. But, in 2A its about 1.5 Lakh only. Pls refer my points and assist me accordingly;
Nov Actual ITC 3.0 Lakh as per Accounts book.
In 2A ; 2.0 Lakh ( It includes prior month ITC too, supplier returns quarterly or delayed.)
in 2B ; 1.5 Lakh.
I am not able to edit and put correct figures in 3B. Also, differences in RCM too.

Divyam Agarwal (Practicing Chartered Accountant) (959 Points)
Replied 21 December 2020

For precautionary steps and easy record keeping, avail only that much of ITC which is showing in Form GSTR 2B.
Avail balance amount remaining unclaimed in books only when it gets reflected in GSTR 2B.

1 Like

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Mohanraj J (1178 Points)
Replied 21 December 2020

Thanks Dhivam Agarwal Ji.

Divyam Agarwal (Practicing Chartered Accountant) (959 Points)
Replied 21 December 2020

Your most welcome sir.

1 Like

Kishor Lulla (993 Points)
Replied 22 December 2020

My view is that we should claim itc as per books only. nothing will happen except interest. those chances are very less. till today u never rely 2a or 2b. I only watch whether supplier is bogus. if genuine, than I never bother what is in 2a and 2b. one or two months here and there we get itc. similarly there is no condition in sec 16 that itc is dependent on 2a or 2c

2 Like

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 22 December 2020

Good View Mr Kishore Lulla.,

I agreed with You...

1 Like

Asha Kanta Sharma (Manager - Finance & Accounts) (36365 Points)
Replied 26 December 2020

Both process are correct but I will better to prefer on actual basis but we anyways have to keep a reconcilitions for all the Inputs as per Books vs GSTR-2B and chase the suppliers if any of these are not reflecting in GSTR-2B. It may be due to non uploading of invoices by the suppliers, mistakes in GST Numbers etc which all gets corrected if we have a seemly matching of suppliers invoices. Sometimes we also forgot to book and claim some inputs which we comes to know from our GST-2B.

We also have to keep a track of payments made for all the Inputs as it should never exceed 180 Days from the date of invoices otherwise Inputs will be disallowed and better to pay before 45 days in case of MSME Suppliers.

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