9911796707
TMI BlogMandatory furnishing of correct and proper information of inter-State supplies and amount of ineligible/blocked Input Tax Credit and reversal thereof in return in FORM GSTR-3B and statement in FORM GSTR-1X X X X Extracts X X X X X X X X Extracts X X X X ..... f State Taxes and Excise, Shimla, Solan, Una, Sirmour, Bilaspur, Hamirpur, Mandi, Kullu, Chamba, Kangra, Revenue Distt Nurpur and BBN Baddi, H.P. 4. The Asstt. Commissioner of State Taxes and Excise, Incharge Distt. Kinnour, H.P. Dated Shimla-9 14th July, 2022 Sir, Subject: Mandatory furnishing of correct and proper information of inter-State supplies and amount of ineligible/blocked Input Tax Credit and reversal thereof in return in FORM GSTR-3B and statement in FORM GSTR-1 -reg. The process of return filing has been simplified over a period of time. With effect from December 2020, FORM GSTR-3B is getting auto-generated on the portal by way of auto-population of input tax credit (ITC) from FORM GSTR-2B (auto-generated inward suppl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... paying tax under section 10 of the HPGST Act (composition taxable persons) and to UIN holders, as required to be declared in Table 3.2 of FORM GSTR-3B, under the notion that the taxable value of the same along with tax payable has already been reported in Table 3.1 of the said FORM. In certain cases, it has also been noticed that the address of unregistered person are captured incorrectly by the supplier, especially those belonging to banking, insurance, finance, stock broking, telecom, digital payment facilitators, OTT platform services providers and E-commerce operators, leading to wrong declaration of Place of Supply (PoS) in both the invoices issued under section 31 of the HPGST Act, as well as in Table 3.2 of FORM GSTR-3B. 3.2 In thi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be given effect to while reporting the figures in Table 3.2 of FORM GSTR-3B. 4. Furnishing of information regarding ITC availed, reversal thereof and ineligible ITC in Table 4 of GSTR-3B 4.1 Table 4(A) of the FORM GSTR-3B is getting auto-populated from various entries of FORM GSTR-2B. However, various reversalsof ITC on account of rule 42 and 43 of the CGST Rules or for any other reasons are required to be made by the registered person, on his own ascertainment, in Table 4(B) of the said FORM. It has been observed that different practices are being followed to report ineligible ITC as well as various reversals of ITC in FORM GSTR-3B. 4.2 It may be noted that the amount of Net ITC Available as per Table 4(C) of FORM GSTR-3B gets credite ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... FORM GTSR-2B. Thereafter, the registered person is required to identify ineligible ITC as well as the reversal of ITC to arrive at the Net ITC available, which is to be credited to the ECL.In light of the above, the procedure to be followed by registered person is being detailed hereunder for correct reporting of information in the return: A. Total ITC (eligible as well as ineligible) is being auto-populated from statement in FORM GSTR-2B in different fields of Table 4A of FORM GSTR-3B (except for the ineligible ITC on account of limitation of time period as delineated in sub-section (4) of section 16 of the HPGST Act or where the recipient of an intra-State supply is located in a different State / UT than that of place of supply). B. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d in Table 4(D)(1). F. ITC not available, on account of limitation of time period as delineated in sub-section (4) of section 16 of the HPGST Act or where the recipient of an intra-State supply is located in a different State / UT than that of place of supply, may be reported by the registered person in Table 4D(2). Such details are available in Table 4 of FORM GSTR-2B. 4.4 Accordingly, it is clarified that the reversal of ITC of ineligible credit under section 17(5) or any other provisions of the HPGST Act and rules thereunder is required to be made under Table 4(B) and not under Table 4(D) of FORM GSTR-3B. 4.5 For ease of understanding, the manner of reversals is being elucidated in the illustrations enclosed as Annexure to this Cir ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ote 2: In terms of rule 42 and 43 of the HPGST Rules, M/s ABC is required to reverse ITC of Rs. 75,500/- integrated tax, Rs. 52,000/- central tax and Rs. 52,000/- state tax. Note 3: M/s ABC had not received the supply during April, 2022 in respect of an invoice for an inwards supply auto-populated in row (5) having integrated tax of Rs. 10,000/-. Note 4: M/s ABC has reversed ITC of Rs. 500/- central tax and Rs. 500/- state tax on account of Rule 37 i.e. where consideration was not paid to the supplier within 180 days. Note 5: An amount of ITC of Rs 10,000/ central Tax and Rs 10,000/- state tax, ineligible on account of limitation of time period as delineated in sub-section (4) of section 16 of the HPGST Act, has not been auto-populated i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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