Supplier uploading their sales invoice not within the time limit

[Syamaprasad Menon]

Some suppliers, unfortunately, do not file their GSTR1 before the respective cut-off dates, denying the opportunity to the receiver to avail the corresponding ITC. Is it proper to credit the inward supply account and GST Input accounts, debiting Inward supply late upload and GST Inputs on Late upload? We reverse the same when the invoices are uploaded. If this happens in the month of March or the corresponding upload by the supplier does not happen in the same financial year, we debit the Inward supply and credit the P&L while the Input GST on Late upload is carried over to the mext fianacial year as loans and advances. Is this a correct approach? any other suggestions?

[Shilpi Jain]

For sure having a track of the invoices in respect of which uploads are not done by the supplier is a wise decision

AI Summary

Delayed supplier GSTR1 upload affects recipient input tax credit availability and warrants careful invoice tracking and provisional entries. Whether a recipient may recognise purchases and corresponding input tax credit where the supplier fails to upload GSTR 1 within prescribed cut off dates, describing a practice of crediting inward supply and GST input accounts, debiting 'Inward supply late upload' and 'GST Inputs on Late upload', reversing on supplier upload, and carrying input GST forward if upload occurs in a later financial year. The recorded reply advises that maintaining a track of invoices not uploaded by suppliers is a prudent measure.