The Union Finance Minister Nirmala Sitaraman presided over the 50th meeting of the GST Council on 11th July 2023 at Vigyan Bhawan in New Delhi including Revenue Secretary, CBIC chairman.
The GST council has clarified about the Input Tax Credit claim in case of mismatch in GSTR-3B and GSTR-2A.
As per the recommendations of the Council in its 48th meeting, Circular No. 183/15/2022-GST dated 27th December, 2022 was issued to provide for the procedure for verification of input tax credit in cases involving difference in Input Tax Credit availed in FORM GSTR-3B vis a vis that available as per FORM GSTR-2A during FY 2017-18 and 2018-19.
To provide further relief to the taxpayers, the Council recommended for further issuance of a circular to provide for similar procedure for verification of input tax credit in cases involving difference in Input Tax Credit availed in FORM GSTR-3B vis a vis that available as per FORM GSTR-2A during the period 01.04.2019 to 31.12.2021
Also read: 50th GST Council Meeting: Key Highlights
The Department has given notices regarding the discrepancy between the ITC claimed in GSTR-3B and the ITC reflected in Form GSTR-2A that was discovered by the GST officer during various stages of the proceeding, including scrutiny, GST audit, investigation, etc.
This ITC discrepancy is regarded as ineligible ITC obtained by the registered person, and the officer has requested an explanation. In most situations, the ITC has been reversed along with interest and penalty. It has been clarified by the GST council.
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