TaxTMI 
TaxTMI 
TaxTMI 
As per Section 16(4) of CGST Act,2017 , 'A registered person shall not be entitled to take input tax credit in respect of any invoice or debit note for supply of goods or services or both after the due date of furnishing of the return under section 39 for the month of September following the end of financial year to which such invoice or invoice relating to such debit note pertains or furnishing of the relevant annual return, whichever is earlier.'
And with reference to a recent press release which clarifies Section 39 as the section to be considered for GSTR-3B. It means as per CBIC intentions, you should not claim more legitimate ITC after September return.
As per Proviso to Sec.37(3), Government want no rectification of error or omission of return of Sec.39(1) and if we read same combining with the recent press release. That would simply mean that you cannot rectify GSTR-1 details as well as GSTR-3B after September return.
But if we go by the intention of Sec.64,66, 71, 72, 74, 78 of CGST Act, 2017, which mainly refers to protection of the interest of revenue. We can always increase the output liability in GSTR-3B and pay the due tax with applicable interest and penalty.
So, We, taxpayers will not be able to claim legitimate input tax credit pertaining to FY 2017-18 and we cannot reduce the output tax in order to rectify any error or omission. But we can increase the output tax liability or reduce input as it refers to protection of revenue of department.
No rectification of error or omission after GSTR-3B of September
Aman Gera
Input tax credit restriction bars post-September claims; taxpayers may only increase declared output tax and pay interest. Section 16(4) bars claiming input tax credit after the due date for the September summary return or the annual return, and a related administrative clarification treats the summary return as the operative cutoff, preventing post-September rectification of both outward-supply reporting and summary return entries. Revenue-protection provisions nonetheless allow taxpayers to correct by increasing declared output tax and paying additional tax with interest and penalties, so missed credits cannot be recovered by reducing output after the cutoff but can be addressed by declaring higher output liability. (AI Summary)
