one of my client has invoices reflecting ITC but that party has not filed its GSTR 1 and 3 B for the periods in which purchases are made by my client ,
now the question is at the time of reconciliation gst portal is showing excess credit claimed by such amount
now whether client is liable to reverse itc or it can claim it as he has valid Invoices reflecting purchases and gst thereon...
Your client will have to reverse the ITC along with the Interest.
He cannot claim ITC unless and until the supplier file his returns.
You will have to coordinate with your supplier and get his returns filed, else you are liable to reverse the same along with interest
CAclubindia
