Input Tax Credit

[Ethirajan Parthasarathy]

1. Section 16(4) Provides for Time Limit regarding Input tax set off.

It is not clear to me whether the time limit Apllies for Input tax “Availment” or Input tax ‘Credit”

AI Summary

Input Tax Credit Deadline: Claim by October 20 or December 31, 2018, per CGST Act Section 16(4). A query was raised regarding the time limit for availing input tax credit under the Goods and Services Tax (GST) regime. According to Section 16(4) of the CGST Act, a registered person cannot claim input tax credit for an invoice or debit note after the due date for filing the September return following the end of the financial year or the relevant annual return, whichever is earlier. For the financial year 2017-18, this means the credit must be claimed by October 20, 2018, or December 31, 2018. If not claimed by these dates, the credit lapses. Another contributor confirmed the one-year limit from the invoice date.