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Mismatch between GSTR2A & GSTR3B

M.Ramkumar (Student) (48 Points)

07 April 2022

For the Financial Year 2018 - 2019, A Notice was issued by the Department as there was a mismatch between Gstr2A&Gstr3B. However, Restriction imposed on availing ITC w.r.t GSTR2A was introduced in Oct 2019. Can it be Applied for FY 2018-19. What are the legal defenses available.

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11 Replies

Eswar Reddy S (CFO- at NHTF) (58263 Points)
Replied 07 April 2022

Do you have reconciliation for the difference ?

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M.Ramkumar (Student) (48 Points)
Replied 07 April 2022

yes there is a mismatch

Eswar Reddy S (CFO- at NHTF) (58263 Points)
Replied 07 April 2022

You may explain it through GST reconciliation

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M.Ramkumar (Student) (48 Points)
Replied 07 April 2022

For FY 2018-2019, ITC Claimed as per GSTR 3B was Rs 425000 whereas as per GSTR2A it was Rs 360000

Eswar Reddy S (CFO- at NHTF) (58263 Points)
Replied 07 April 2022

What is the reason for difference ?

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Shubham Dhakrey (34 Points)
Replied 08 April 2022

If there is a reason for INR 65,000 then the same can be submitted to the jurisdictional officer however if the same is not traceable then you need to pay the said amount through DRC-03 along with interest on the same at the rate of 24% as the same would become a case of ITC wrongly availed AND utilized.

M.Ramkumar (Student) (48 Points)
Replied 09 April 2022

But the official notification came in OCT 2019 , will it be Applicable for FY 2018-2019?

Rajendra Prasad (Employee Private) (1842 Points)
Replied 09 April 2022

It is better to consult a professional on the issue.

Shubham Dhakrey (8 Points)
Replied 09 April 2022

The notification says that "1. ........ (2) Save as otherwise provided in these rules, they shall come into force on the date of their publication in the Official Gazette. "

In view of the same, 3rd point of the amendment does not specify a particular date which means that this cannot be applied with retrospective effect. Fir retrospective effect of this notification specifically it has been mentioned in the rules which amendment would apply from 1 July 2017.

Hence, this specific amendment in the said notification number 49/2019 – Central Tax date 9 October 2019 would be applicable from 9 October 2019 which is prospectively.

Disclaimer of Opinion:

This is just an advisory in general terms which cannot be referred by you for representation to the Authority. This is only for your understanding. Please refer a professional advice in this regard if the same is to be referred for representational purposes.