Filing of return by supplier for claiming ITC during FY 2018-19

[POOJA AGARWAL]

Dear Experts

Few of my clients have received GST notices disputing ITC for FY 2018-19 on the ground that their suppliers have filed their returns after the Cut-Off date for FY 2018-19 ie. 20 Oct 2019 ITC; though the client has taken ITC prior to 20 Oct 2019. No section is mentioned in the SCN

As per my understanding of section 16(4) provides time limit for availment of credit by recipient and has no relevance with filing of return by supplier. In fact there was no condition for FY 2018-19 regarding the supplier's return filing. Please confirm

AI Summary

Input tax credit entitlement depends on recipient claim timing, not solely on supplier's delayed return filing.
The time limit to claim input tax credit applies to the recipient and not as a condition tied to the supplier's timely filing; late supplier return filing alone does not legally defeat a recipient's validly claimed credit. Judicial guidance and transitional measures accepting retrospective effect or treating timely updating of the supplier's prescribed return within extended windows as curing non disclosure may be used to defend notices disputing credit.