ITC of RCM on supplies from unregistered persons

[Sooraj B]

Can ITC be availed of GST paid under RCM on supplies received from unregistered persons during 23-24, but paid in Dec-24 along with GSTR-3B? The time limit for raising a self invoice was introduced only from November 2024. So can we contend that since the service was received before November 2024 and the payment for the services was also made before November 2024, the rule regarding time limit for raising a self invoice is not applicable in this case and accordingly, the date of self invoice (raised in December 2024) shall be the invoice date for the purpose of ITC ? (applying the provisions of Section 14 of the CGST Act and the clarification issued in Circular 211)

AI Summary

Time limit for ITC: self-invoice date governs ITC year for RCM supplies; late issuance may attract interest and penalty
Time of supply for RCM services is the earlier of payment date or other prescribed events; a prospectively introduced rule requires recipients who pay tax under RCM to issue a self invoice within thirty days of receipt. A revenue circular states the financial year for ITC time bar is the year in which the recipient issues the self invoice, subject to section based conditions, and warns that issuing the invoice after time of supply can trigger interest on delayed tax and potential penalty exposure.