One assessee had paid tax after claiming ITC for the month of November, 2018 in GSTR 3B and filed the same on 31.12.2018 but the person has forgotten to file GSTR 1, which was filed later on 25.11.2019. now the department sent a notice that: since you have filed GSTR-3B return for the month of November, 2018 on 31.12.2018 ie after the due date as mentioned above ie 20.10.2019, you are requested to reverse the ITC amount. in the notice nothing mentioned about GSTR-1.
In my view since the ITC was availed with in the time hE is eligible eventhough he filed GSTR-1 belatedly on 25.11.2019
Taxpayer Challenges ITC Reversal Over Late Filing; Calls for Amending Section 16(4) of CGST Act for Fairness An individual filed their GSTR-3B return for November 2018 late, on December 31, 2018, and subsequently filed GSTR-1 on November 25, 2019. The tax department issued a notice to reverse the Input Tax Credit (ITC) due to the late filing. Contributors to the discussion argue that while the department is strict, an amendment to Section 16(4) of the CGST Act is necessary for relief. They emphasize that the department should follow due process by issuing a show cause notice rather than a simple letter for ITC reversal, highlighting the importance of adhering to principles of natural justice. (AI Summary)
TaxTMI 
TaxTMI 
TaxTMI 
