Sir,
Is there any time restriction on availment of ITC on import of goods ?
As per section 16(4) input tax credit in respect of any invoice or debit note is not available for supply of goods or services or both after the thirtieth day of November following the end of financial year to which such invoice or debit note pertains or furnishing of the relevant annual return, whichever is earlier.
In one case, a company has taken ITC on imports pertaining to FY 18-19 in the FY 20-21.
Is the company eligible to take Import ITC in the FY 20-21? Please help.
Can a Company Claim Input Tax Credit on Imports from FY 18-19 in FY 20-21? Section 16(4) Insights A participant in a discussion forum inquired about the time restrictions on availing Input Tax Credit (ITC) for imported goods under the Goods and Services Tax (GST) framework. The query centered on whether a company could claim ITC in FY 20-21 for imports made in FY 18-19. Responses indicated that the time restrictions under Section 16(4) do not apply to bills of entry for imports, suggesting the company could claim ITC. However, contributors warned of potential litigation, as the tax department might challenge such claims. Despite the risk, some participants believed the case had strong legal grounds and was worth contesting. (AI Summary)
TaxTMI 
TaxTMI 
