Differential GST rate claimed by Vendor

[JOHN SHANNEL]

Hi Experts,

One of my vendor has been charging me 12% GST for the last 2 years. And due to his assessment with GST authorities he got clarity that the item was supposed to fall under 18% GST rate. Now he is asking me to pay the 6% differential GST of the last 2 years.

Am i liable to pay the same. If yes can i claim ITC in current year?

AI Summary

Input tax credit eligibility hinges on debit note timing; recipient may be liable to pay differential GST to supplier.
Vendor can recover under charged GST by issuing a supplementary invoice or debit note, which serves as the documentary basis for the recipient to pay the differential and for the supplier to deposit tax and interest. The recipient may claim input tax credit on that differential only if the debit note/supplementary invoice is valid and issued within the statutory time limits tied to the relevant financial year and annual return. Contractual clauses may allocate commercial liability, and fraud related departmental demands can affect credit eligibility.