Input Tax Credit reporting in GST Annual Returns GSTR-9

[Sridhar Lakshminarasimhan]

Dear Experts

Please clarify the following pertaining to reporting of  ITC in GST Annual returns

Where do we report the following transactions in GSTR-9 for FY 2024-25 with regard to Table 6, 7, 12 and 13.

1. ITC of FY 2023-24 claimed in GSTR-3B of FY 2024-25 and permanently reversed in FY 2024-25

2. ITC of FY 2023-24 claimed in GSTR-3B of  FY 2023-24, temporarily reversed in FY 2023-24. reclaimed in FY 2024-25 and permanently reversed in FY 2024-25

Thanks

Ramakrishna V

[Laxmi Kant]

Dear Ramakrishna,

Thank you for your query.

Please find below the clarification on reporting FY 2023–24 ITC adjustments in the GSTR-9 for FY 2024–25, specifically covering Tables 6, 7, 12 and 13.

In similar cases handled by RegisterKaro (www.registerkaro.in) during annual return reconciliations, the following approach is applied:

1. ITC of FY 2023–24 claimed in GSTR-3B of FY 2024–25 and permanently reversed in FY 2024–25

• Since this ITC is claimed in FY 2024–25, it must be reported in Table 6M (Other ITC availed during the year).

• The corresponding permanent reversal done in the same year should be disclosed in Table 7H (Other reversals).

Tables 12 and 13 do not apply because these entries are not amendments or adjustments relating to the previous year's annual return.

2. ITC of FY 2023–24 claimed in FY 2023–24, temporarily reversed in FY 2023–24, reclaimed in FY 2024–25, and permanently reversed in FY 2024–25

• The ITC originally claimed in FY 2023–24 continues to remain reported in that year's GSTR-9.

• Only the final permanent reversal done in FY 2024–25 requires reporting, which should be disclosed in Table 7H.

Again, no reporting is required in Tables 12 or 13 for FY 2024–25, as there is no amendment to previous-year ITC.

[Pinnacle Tax Advisor]

Scenario 1: ITC of FY 2023–24 claimed in GSTR-3B of FY 2024–25 and permanently reversed in FY 2024–25

• Since the ITC pertains to FY 2023–24 but was claimed in FY 2024–25, it would normally be reported in Table 6A1.

• However, as the reversal of this ITC has also been made during FY 2024–25, the value reported under Table 6A) do not be the part of Table 7. In this case, the ITC may be reported in Table 6B, and the reversal can be shown in Table 7.

• This may create a difference in Table 8, but the same can be explained with reference to the reversal reported in Table 7.

Scenario 2: ITC of FY 2023–24 claimed in GSTR-3B of FY 2023–24, temporarily reversed in FY 2023–24, reclaimed in FY 2024–25, and permanently reversed in FY 2024–25

• If the reversal was made on account of Rule 37 (non-payment to supplier within 180 days) during FY 2023-24, the amount reclaimed in FY 2024–25 on making compliance of rule 37, it should be reported in Table 6B, and the permanent reversal should be reported in Table 7.

• In case the reversal was made for reasons other than Rule 37, the same procedure as explained in Scenario 1 above might be followed.

AI Summary

Input Tax Credit reporting in GSTR-9: claim entries in Table 6 and report permanent reversals in Table 7. For ITC claimed in FY 2024 25 (relating to FY 2023 24) and permanently reversed in FY 2024 25, report the availed amount in Table 6 of GSTR 9 and the permanent reversal in Table 7. Where ITC was claimed in FY 2023 24, temporarily reversed then reclaimed and permanently reversed in FY 2024 25, retain the original FY 2023 24 reporting and disclose the final permanent reversal in FY 2024 25 Table 7; Rule 37 reclaiming may be shown in Table 6B with the permanent reversal in Table 7.