Prakhar (BUSINESSMAN) (149 Points)
31 July 2021Last time also the same supplier filed GSTR1 of previous year(2019-20) after September cut off(September,2020) of next year as a result I could not claim ITC also he refused to compensate me saying he has already paid taxes in GSTR3B and it is not his mistake that I didn’t get ITC .
Can’t I take advantage of the fact that he has already paid taxes to govt in GSTR3B Is there any solution, any judgement by which I can claim ITC and not be at loss ?
CMA Poornima Madhava
(CMA)
(13112 Points)
Replied 31 July 2021
Logically, you are right. Tax has been paid to the govt and there is no loss of revenue to the govt to restrict you from availing ITC.
But the problem is ITC can be availed on the basis of GSTR2B which is auto populated based on the data from GSTR1 filed by the supplier. Here though the supplier has paid tax, s/he/it has not credited such tax against your GSTIN as no GSTR1 has been filed so far.
See if it is possible to explain the scenario to the supplier and get GSTR1 filed periodically.
Prakhar
(BUSINESSMAN)
(149 Points)
Replied 31 July 2021
Mam ,I have communicated the same to supplier multiple times via portal service (communication between taxpayer) ,mail and call but to no use .
I also tried reporting him on GST tax fraud/avoidance on CBEC portal but the portal and number provided on it doesn't work .
Is there any other solution ,because as mentioned earlier supplier files GSTR3B on time but doesn't file GSTR1 ,he files it after September annual cut off date .
CMA Poornima Madhava
(CMA)
(13112 Points)
Replied 31 July 2021
I'm really surprised to note that the supplier files GSTR1 after cut-off date. What does the supplier gain by doing this!!!? Usually suppliers do not file GSTR3B to defer payment of tax. But here it is strange and don't understand what's stopping the supplier from filing GSTR1 on time. Is the supplier under-reporting sales by doing this? Not sure.
Right now, I can think of the following options:
Opt1: To stop buying from such specific suppliers and find alternate suppliers. Not sure whether this is feasible in your case. If you opt to do this, hold few bills from payment.
Opt2: Pay the supplier (less GST) and not avail ITC
Opt3: Take legal action against the supplier after carrying out cost-benefit analysis.
CS Advocate Abhishek Goyal
(M Com FCS LLB M-AIMA )
(13706 Points)
Replied 31 July 2021
In my opinion best option is to hold back GST payment until your supplier furnishes you a copy of B2B filed on portal. You have to be a strict and straight forward in case you can't avoid business with him.
Prakhar
(BUSINESSMAN)
(149 Points)
Replied 31 July 2021
Thank you, will keep in these points in mind next time dealing with such suppliers .
Bhavika Kothari
(CA)
(1258 Points)
Replied 16 August 2021
If the supplier does not file GSTR-1 before cut off date pf September then there will be a difference in ITC taken by you and ITC as per GSTN. So in this case you should not take ITC. All you can do is either hold the payment of the supplier or take any other legal action
Prakhar
(BUSINESSMAN)
(149 Points)
Replied 16 August 2021
Apart from holding the payment of supplier ,what kind of legal action I can take against such supplier given tax amount is usually below Rs.10k .
CAclubindia
