Purchase Omissions in GSTR 3B

[BDO India Services Private Limited]

Hi all,Greetings of the day!!

One of our client has got 3 notices for 'Purchase Omissions in GSTR 3B'.The officer is contending that our client has not taken ITC on a purchases which are appearing in GSTR 2A.This is a scenario where the ITC in 2A is more than 3B.Can anyone help as to how do we reply to such notices?...Any provision in the law in this regard?

AI Summary

Client Receives Notices for ITC Discrepancies; Verify Eligibility Under Section 17(5) of CGST Act Before Proceeding. A client received three notices for purchase omissions in GSTR 3B, where the Input Tax Credit (ITC) in GSTR 2A exceeds that in GSTR 3B. The forum participants advised that not all credits in GSTR 2A are eligible, as some may be blocked under Section 17(5) of the CGST Act. They suggested verifying eligibility, matching invoices with books, and considering scenarios like goods-in-transit. It was noted that taking ITC is not compulsory, and the client has the right to forego it. The notices might be auto-generated, and the department's rationale for issuing them was questioned.