https://www.taxtmi.com/article/detailed?id=14784 The article foregrounds the Input Tax Credit crisis in GST: purchaser ITC is often denied due to supplier filing defaults, automated mismatch rules, and discretionary credit blocking under Rule 86A, converting routine credit claims into litigation and compliance risk. It identifies procedural rigidity-complex reconciliations, constrained refunds, arbitrary GSTIN cancellations-and an enforcement shift toward coercive recovery and inspections, arguing these dynamics erode trust. Recommended reforms include de-linking bona fide buyer ITC from supplier defaults, clear audit SOPs, time-bound and reasoned show-cause processes, review mechanisms for credit blocks, improved portal functionality, and simplified returns for small traders. en-us Thu, 10 Jul 2025 08:43:56 +0530 Thu, 10 Jul 2025 08:43:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=14784 The article foregrounds the Input Tax Credit crisis in GST: purchaser ITC is often denied due to supplier filing defaults, automated mismatch rules, and discretionary credit blocking under Rule 86A, converting routine credit claims into litigation and compliance risk. It identifies procedural rigidity-complex reconciliations, constrained refunds, arbitrary GSTIN cancellations-and an enforcement shift toward coercive recovery and inspections, arguing these dynamics erode trust. Recommended reforms include de-linking bona fide buyer ITC from supplier defaults, clear audit SOPs, time-bound and reasoned show-cause processes, review mechanisms for credit blocks, improved portal functionality, and simplified returns for small traders. Articles Goods and Services Tax - GST Thu, 10 Jul 2025 08:43:56 +0530 https://www.taxtmi.com/article/detailed?id=14784