Invalid ITC under Sec 16(4) FY 2021-22

[DURAI RAJ]

for the year 2021-22 GSTR-3B Filled on  21.04.2023 after the due date actual date is 30.11.2022 department issued notice  Invalid ITC under Sec 16(4) any possible solution to rectify this

[KASTURI SETHI]

You are hoping against hope.

[Shilpi Jain]

Is this ITC pertaining to an RCM liability?

[DURAI RAJ]

Not RCM Liability 

[Shilpi Jain]

Any reason for late filing of return? Say suspension of registration?

If not, difficult to claim credit.

AI Summary

Invalid input tax credit due to late GSTR-3B filing under Sec 16(4) limits claim absent accepted justification. Invalid input tax credit arose because the GSTR-3B for the period was filed after the due date, prompting departmental notice; late filing is identified as the primary cause of disallowance and, absent an acceptable justification such as suspension of registration or similar recognized impediment, remedies to rectify the invalid ITC are limited.