TaxTMI 
TaxTMI 
TaxTMI 
2025 (6) TMI 919
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....bona Group Limited Invoice Number P220621518YD Port Code INBOM4 BE No 2134376 BE Date 24/08/2022 IGST Paid Rs. 9,00,939 * This IGST paid through Bill of Entry is reflected in GSTR-2A of August 2022 and reflected in GSTR-2B of March 2023. * This IGST credit is not availed in GSTR-3B of FY 2022-23 * The applicant is forgotten to avail this credit in GSTR-3B return till 30th November 2023 also. * On 21/03/2024, an email received from GST department regarding excess IGST ITC available as per GSTR-2B but not claimed in GSTR-3B, so need to avail & reverse the same in upcoming GSTR-3B return. * Then applicant remember about this left out IGST ITC to avail & accordingly the Applicant seeks clarification in AAR on the availability of this ITC. Following documents Attached for your reference:- * Commercial Invoice * E-Way Bill * Bill of Entry and its summary * GSTR-2A-August 2022 * GSTR-2B-March 2023 * Email from GST Department The applicant has sought clarification regarding the applicability of time limit as mentioned in section 16 (4) of CGST Act, 2017 on ITC eligible as per Bill of Entry & can the applicant avail this IGST credit in its upcoming GST....
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....e ITC of Tax paid on import of goods i.e. IGST is allowed and in that regard we can refer to the Section 2 (62) (a) of CGST Act, 2017 which reads as "input tax" in relation to a registered person, means the central tax, State tax, integrated tax or Union territory tax charged on any supply of goods or services or both made to him and includes ... (a) the integrated goods and services tax charged on import of goods; and in order to allow such ITC under the CGST Act, 2017 the Section 16 (2) (a) specifically make mention of the words "such other tax paying documents as may be prescribed" and accordingly spelt out at Rule 36 (1) (d) of CGST Rules, 2017 the Bill of Entry or any similar documents as prescribe under the Customs Act, 1962 as one the documents eligible for availing the ITC. 2.6 Now let's go to the Section 20 (iv) of IGST Act, 2017 which provides that Subject to the provisions of IGST Act, 2017 and the rules made thereunder, the provisions of CGST Act, 2017 relating to Input Tax Credit shall, mutatis mutandis, apply, so far as may be, in relation to integrated tax as they apply in relation to central tax as if they are enacted under this Act. Under these circumstances....
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....ike article on its supply in India, on the value of the imported article as determined under sub-section (8)." 2.9 If we would compare the same with Section 3 (1) of Custom Tariff Act, 1975 which reads as under; "Section 3 (1) Any article which is imported into India shall, in addition, be liable to a duty (hereafter in this section referred to as the additional duty) equal to the excise duty for the time being leviable on a like article if produced or manufactured in India and if such excise duty on a like article is leviable at any percentage of its value, the additional duty to which the imported article shall be so liable shall be calculated at that percentage of the value of the imported article:" 2.10 Then we would appreciate the fact that the very difference in both above provisions are such that unlike Section 3 (1) the levy of IGST under Section 3 (7) is itself a levy and not any equivalent to other taxes or duty. So according to us and to the best of our understanding and knowledge the school of thought that the barriers of time limit for availing the ITC under section 16 (4) of CGST Act, 2017 doesn't apply in case of import of goods for the very reason that same ....
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...., 16 (2) (a), 16 (4), 2 (38), 2 (66) and observed that at one place of the very same section (Section 16) legislature takes pain to mention " such other tax paying documents as may be prescribed" and by the end of the section they find that the legislature had left out the very same word i.e." such other tax paying documents as may be prescribed". 3.8 Further they have referred to Section 2 (62) (a) of CGST Act 2017 and agreed that in order to allow such ITC under CGST Act 2017, the Section 16 (2) (a) specifically mentions the word: Such other tax paying documents as may be prescribed" and accordingly spelt out at rule 36 (1) (d) of CGST Rules 2017 the Bill of Entry or any similar documents as prescribe under The Customs Act 1962 as one the documents eligible for availing the ITC. 3.9 They also made reference to Section 20 (iv) of IGST Act 2017 which provides that subject to the provisions of IGST Act 2017 and the rules made thereunder, the provisions of CGST Act, 2017 relating to Input Tax credit shall, mutatis mutandis apply so far as may be, in relation to integrated tax as they apply in relation to central tax as if they are enacted under this Act and Section 5 (1), 3 (1) 3 (....
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....asis of Bill of Entry and provisions of section 16 (4) are not applicable for ITC availment in respect of Bill of Entry given the fact that Bill of Entry is one of the tax paying documents prescribed by section 16 (2) (a) read with Rule 36 (1) (d). Applicant contends that as limitation of time provided in section 16 (4) is not applicable to ITC to be claimed in respect of Bill of Entry, he can claim it now. 5.3 Section 16 of the CGST Act, 2017 spells out the eligibility and conditions for availing the input tax credit. Section 20 of IGST Act, 2017 provides for the applicability of various provisions of CGST Act, 2017 "mutatis mutandis" to the IGST Act, 2017 and by virtue of said section, the provisions related to Input Tax Credit as spelt out in the CGST Act are made applicable to IGST Act, 2017. 5.4 The time limit to avail the ITC is provided for under sub-section (4) of section 16 of CGST Act, 2017. As per the said section, the time limit to avail the ITC is thirtieth day of November following the end of the financial year or furnishing of the Annual Return of the relevant financial year to which such invoice or debit note pertains, whichever is earlier. 5.5 This issue and the....
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....er not exceeding sixteen characters, in one or multiple series, containing alphabets or numerals or special characters-hyphen or dash and slash symbolised as "-" and "/" respectively, and any combination thereof, unique for a financial year; (c) date of its issue; (d) name, address and Goods and Services Tax Identification Number or Unique Identity Number, if registered, of the recipient; (e) name and address of the recipient and the address of delivery, along with the name of the State and its code, if such recipient is un-registered and where the value of the taxable supply is fifty thousand rupees or more; (f) name and address of the recipient and the address of delivery, along with the name of the State and its code, if such recipient is un-registered and where the value of the taxable supply is less than fifty thousand rupees and the recipient requests that such details be recorded in the tax invoice. Provided [in cases involving supply of online money gaming or in cases] that where any taxable service is supplied by or through an electronic commerce operator or by a supplier of online information and database access or retrieval services to a recipient who is un-reg....
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....ll be treated to be a supply of goods in the course of inter-State trade or commerce. (4) Supply of services imported into the territory of India shall be treated to be a supply of services in the course of inter-State trade or commerce. (iii) These provisions provide that supply of goods imported into the territory of India till they cross the customs frontier of India shall is treated as supply of goods in the course of interstate trade. So, this interstate supply at the hands of importer is liable for IGST on the value of goods imported, as it is an interstate supply in the hands of the importer. (iv) The provisions of section 31 of CGST Act, 2017 are mutatis mutandis applicable to IGST Act. Hence, every supplier is required to issue a tax invoice as per this section. In case of importer, the document showing tax description, quantity and value of goods, the tax charged thereon and such other particulars mentioned in Rule 46 is the Bill of Entry itself. The Bill of Entry presented by the applicant shows following details. 1. Importer name: Adi Enterprises 2. Importer address: Desai Wadi, AT. Usangaon, Post Bhatan, Taluka Vasai, Dist. Palghar. 3. PAN: AAGFA2322M 4. GS....
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....herwise, before or during movement of goods, either by way of transfer of documents of title to goods or otherwise; (ii) where the services are provided by the supplier to any person on the direction of and on account of such registered person; (ba) the details of input tax credit in respect of the said supply communicated to such registered person under section 38 has not been restricted; (c) subject to the provisions of section 41, the tax charged in respect of such supply has been actually paid to the Government, either in cash or through utilisation of input tax credit admissible in respect of the said supply; and (d) he has furnished the return under section 39: Provided that where the goods against an invoice are received in lots or instalments, the registered person shall be entitled to take credit upon receipt of the last lot or instalment: Provided further that where a recipient fails to pay to the supplier of goods or services or both, other than the supplies on which tax is payable on reverse charge basis, the amount towards the value of supply along with tax payable thereon within a period of one hundred and eighty days from the date of issue of invoice by t....
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....ions of section 31; (b) an invoice issued in accordance with the provisions of clause (f) of sub-section (3) of section 31, subject to the payment of tax; (c) a debit note issued by a supplier in accordance with the provisions of section 34; (d) a bill of entry or any similar document prescribed under the Customs Act, 1962 or rules made thereunder for the assessment of integrated tax on imports; (e) an Input Service Distributor invoice or Input Service Distributor credit note or any document issued by an Input Service Distributor in accordance with the provisions of sub-rule (1) of rule 54. (2) Input tax credit shall be availed by a registered person only if all the applicable particulars as specified in the provisions of Chapter VI are contained in the said document, and the relevant information, as contained in the said document, is furnished in FORM GSTR-2 by such person. Provided that if the said document does not contain all the specified particulars but contains the details of the amount of tax charged, description of goods or services, total value of supply of goods or services or both, GSTIN of the supplier and recipient and place of supply in case of inter-Sta....