ITC on debit notes

[Amresh kumar]

Dear sir,

One of my service provider was providing professional / consultancy service.

Now it has come to notice that he had crossed the limit of ₹ 30 Lakhs in 2018-19 but failed to get himself registered as the limit crossed was only by fifty thousand Rs.

Now while filing the Income tax return for 2019-20 ( filed late due to covid) it is noticed that he HSS crossed the limit of ₹ 20 lakhs.

Department has still not noticed it.

Noe hr HSS got himself registered under GST.

He is discharging the GST liability from 2018-19 onwards and raising Debit Notes for GST paid for each financial year w.e.f. 2018-19 onwards.

Can I claim ITC on Debit Notes raised for GST payment for year 2018-19 onwards as he is raising Debit Notes in current month I.e. April 2021

Regards

Amresh Kumar

AI Summary

Debate on Claiming Input Tax Credit for Past GST Payments via Debit Notes Under Sections 16(4) & 18(2) CGST Act A forum discussion centers on whether Input Tax Credit (ITC) can be claimed on debit notes issued for Goods and Services Tax (GST) payments from previous years. A service provider exceeded the registration threshold but registered late, raising debit notes for past GST liabilities. Participants debate the applicability of ITC under Sections 16(4) and 18(2) of the CGST Act, highlighting issues of time limitations and the linkage between debit notes and invoices. While some suggest possible litigation to claim ITC, others caution about legal challenges due to non-compliance and the need for proper documentation.