ITC changes in Form GSTR-3B

 that the changes in manner of reporting in GSTR 3B (i.e. ITC reversal and ineligible ITC details etc), as notified earlier vide Notification No. 14/2022 – Central Tax dated 5 July 2022 and subsequent Circular No 170/02/2022-GST dated 6 July 2022, have now been made available on the GST portal. Screenshot of the GSTN portal w.r.t. Input tax credit has been attached herewith for your reference.

 

Further, we have provided hereunder the summary of Circular No 170/02/2022-GST dated 6 July 2022 in relation to input tax credit for ease of your reference:

 

Clarifications

Manner of reporting of eligible ITC, ineligible ITC and ITC reversal in Form GSTR-3B:   Table 4(A) - ITC Available – Import of goods, Import of Service, Inward supplies liable to reverse charge, ISD Credit and All other ITC   ►    All ITC, whether eligible or ineligible, which is being reflected in current month’s GSTR-2B would be shown in different fields of Table 4A.   4(B) - Reversals   i)      Table 4(B)(1) ►    ITC reversal which are absolute and not reclaimable such as reversal by banking company or financial institutions (Rule 38),  on input and input services on account of exempt supply (Rule 42) and on capital goods on account of exempt supply (Rule 43) ►    Ineligible ITC under sec 17(5) of CGST Act   ii)    Table 4(B)(2) ►    ITC reversal which are temporary and reclaimable such as reversal due to non-payment to supplier within 180 days (Rule 37), non-receipts of goods (Rule 16(2)(b)) and non-payment of tax to government (Rule 16(2)(c)) ►    ITC reversal which was availed earlier in Table 4A because of some inadvertent mistake   4(C) – Net ITC available   ►    Net ITC available will be calculated in Table 4 (C) =  (Table 4(A) – (Table 4(B)(1) + Table 4(B)(2)) and the same will be credited to the electronic credit ledger of the person   4(D) – Other Details   i)      Table 4(D)(1) ►    ITC reclaimed which was reversed earlier under Table 4(B)(2)   ii)    Table 4(D)(2) – ►    ITC not available due to expiry of time period under Section 16(4) (due date of filing GSTR 3B of September of following year) ►    ITC not available in case where recipient of intra-state supply is located in state/UT other than PoS