TaxTMI 
TaxTMI 
Can ITC of current FY 20-21 claimed during September 20 be used to pay liabilities of FY 17-18, 18-19 to be paid through DRC-03.
ITC of Current Year to pay tax liability of PYs
08 Oct 2020 
2 Replies 
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Input tax credit use permitted to offset earlier GST liabilities through DRC-03, with interest payable for delayed tax.
Input tax credit of the current fiscal year may be applied to discharge earlier GST liabilities through the prescribed payment mechanism; one-to-one correlation between ITC claim period and past liability is not required, and applicable interest remains payable on delayed tax. (AI Summary)
Input tax credit of the current fiscal year may be applied to discharge earlier GST liabilities through the prescribed payment mechanism; one-to-one correlation between ITC claim period and past liability is not required, and applicable interest remains payable on delayed tax. (AI Summary)