Input tax credit reversal after non payment requires repayment with interest and permits re availment upon supplier payment. Amendments effective 1 October 2022 expand non compliance in rule 21 for prolonged non filing, remove and substitute multiple GSTR form references, and prescribe ITC reversal where a recipient who availed ITC fails to pay the supplier within the second proviso period to section 16(2). The recipient must pay an amount equal to the ITC with interest in FORM GSTR-3B after 180 days from invoice date; deemed payments under Schedule I and section 15(2)(b) apply, and re availment of ITC is permitted upon subsequent payment to the supplier.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Input tax credit reversal after non payment requires repayment with interest and permits re availment upon supplier payment.
Amendments effective 1 October 2022 expand non compliance in rule 21 for prolonged non filing, remove and substitute multiple GSTR form references, and prescribe ITC reversal where a recipient who availed ITC fails to pay the supplier within the second proviso period to section 16(2). The recipient must pay an amount equal to the ITC with interest in FORM GSTR-3B after 180 days from invoice date; deemed payments under Schedule I and section 15(2)(b) apply, and re availment of ITC is permitted upon subsequent payment to the supplier.
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