Claimed IGST ITC instead of CGST and SGST

[SHARAD ANADA]

In FY 17-18 taxable person has wrongly claimed IGST ITC ₹ 1,000/- in GSTR 3B instead of CGST ITC ₹ 500/- and SGST ITC ₹ 500/-. Whether wrongly claimed IGST ITC ₹ 1,000/- is to be paid through DRC 03 and actual CGST ITC ₹ 500/- and SGST ₹ 500/- not claimed in GSTR 3B will be lapsed? Any remedy.

AI Summary

Taxpayer Error in IGST ITC Claim Raises Questions on Reversal and Re-credit for FY 17-18 Under GSTR 3B A taxpayer mistakenly claimed 1,000 as IGST ITC in GSTR 3B for FY 17-18 instead of splitting it into 500 each for CGST and SGST. The main concern is whether the wrongly claimed IGST ITC should be paid through DRC 03 and if the unclaimed CGST and SGST ITC will lapse. Responses suggest that the error is procedural and revenue-neutral, implying no loss to the department. The taxpayer can reverse the IGST through cash payment and re-credit the correct CGST and SGST amounts. If the mistake is intentional, it may attract interest and penalties.