Q. 714 MY GSTR 1 FOR SEPTEMBER 2017 WAS UPLOADED WITH PROPER FIGURES BUT 3B FOR RELEVANT MONTH WAS UPLOADED WITH NIL DATA. IN EFFECT WE DID NOT CLAIM ITC ON INPUT FOR SEPTEMBER 2017. MY PURCHASES WERE GENUINE AND I PAID MY SUPPLIERS BY CHEQUE. NOW IN 2023, DEPARTMENT IS DEMANDING PAYMENT FOR DIFFERENCE IN GSTR 1 AND 3B. MY QUERY BEFORE YOUR LEARNED TEAM IS THAT, DO I HAVE TO PAY THE ITC AGAIN WHICH I HAD ONCE PAID TO MY SUPPLIER BUT INADVERTANTLY MISSED TO CLAIM SUCH ITC IN 3B ?

Ans. As per GST law, the input tax credit will not be available for Sept 2017, however, in case of genuine purchases you may litigate the matter against the tax authorities. However, it is advised to take detailed opinion on the above subject matter.

Q.  713 The client is manufacturer of both taxable and exempt goods. He is liable to pay RCM on cotton. He has availed credit of the RCM in GSTR-3B, however, the credit remained unutilized. The supplier did not reverse the ITC under R.42 in respect of exempted goods, but at the same time also did not utilize the ITC. Whether he would be liable to pay interest under Section 50(3) on such non-reversal of ITC ? 

Ans. Yes, interest will be levied. 

Q. 712 Input Tax Credit Reversal in case of goods lost due to fire complete analysis. 

Ans.As per section 17(5), Input tax credit is blocked on goods lost, stolen, destroyed, written off or disposed of by way of gift or free samples