ITC on IGST paid on imported goods.

[Vishal Garge]

Dear All,

whether ITC of IGST paid on imported goods is on the basis of bill of entry date or ICEGATE reference date which is mentioned in the GSTR-2B.

It is mostly observed that ICEGATE reference date in GSTR-2B is of subsequent month of Bill of entry date. 

Whether CBIC or any advance ruling issued clarification for the same.

[KASTURI SETHI]

A passed Bill of Entry is an Assessment Order. The ITC of IGST should be taken on the date of passing the Bill of Entry by the Customs Officer.

[Vishal Garge]

Dear Sir,

Thanks for your reply . whether we can consider assesment date of BOE ready for duty payment?

[Sadanand Bulbule]

Refer CBIC Advisory dated 18/10/2021 on the subject.

[Vishal Garge]

Dear Sir,

Thank you for reply.  Advisory is advising to fetch the details if BOE is not available in GSTR-2B. but it is observed that respective "BOE" are coming in next months even it is not fetched. 

[Shilpi Jain]

BoE is a valid document for availng credit. Consider the BoE date.

What is the relevance of the ICEGATE reference date in 2B?

[Vishal Garge]

Dear Madam,

As per Notification No. 12/2024-Central Tax, it is said that "The ICEGATE reference date is the date from which the recipient is eligible to take input tax credit."

 

[Ganeshan Kalyani]

Consider BOE date for taking credit.

[YAGAY and SUN]

The Input Tax Credit (ITC) on IGST paid on imported goods is determined based on the Reference Date rather than the Bill of Entry (BoE) date. The Reference Date is defined as the later of the following:

• Out of Charge Date

• Duty Payment Date

• Amendment Date

This Reference Date is used to ascertain the period for which the ITC is eligible to be claimed in Form GSTR-2B. Consequently, the Reference Date may fall in a subsequent month compared to the BoE date, leading to the appearance of the import transaction in the GSTR-2B of the following month. This is a standard practice and aligns with the GSTN"s guidelines for fetching BoE details from the ICEGATE portal. 

Therefore, the ITC on IGST paid on imports is available in the GSTR-2B based on the Reference Date, which may differ from the BoE date, and this approach is in accordance with the GSTN"s procedures.

[Vishal Garge]

Dear Sir,

Noted it. however if we avail the ITC on the basis of Bill of entry date (which fall in earlier tax period) instead of ICEGATE reference date which could be later date of any one of Duty Payment or out of charge or amendment (which fall next tax period of BE date), what could be the consiquences on availed ITC.   

Further what date will be considered for effect of ITC availed in the credit ladger for a case mentioned following,

1. BOE date : 25th SEP 2024

2. ITC availed in SEP 2024 but reflected in GSTR-2B of Oct 2024

3. ICEGATE reference date : 01st OCT 2024 which is duty payment date 

4. ITC claimed date for accumulated credit reference number in credit ledger is 20th Oct 2024 for SEP 2024.

AI Summary

Input Tax Credit timing depends on ICEGATE reference date, not Bill of Entry date, affecting GSTR-2B reporting.
The ICEGATE reference date, defined as the later of Out of Charge Date, Duty Payment Date, or Amendment Date, governs eligibility for claiming Input Tax Credit on IGST in Form GSTR-2B; this reference date may fall after the Bill of Entry date, causing the import to appear in a subsequent month's GSTR-2B, although a passed Bill of Entry is an assessment order and remains a valid supporting document for ITC.