TR-6 Challan Not an Eligible Document for Availing Import IGST ITC: AAR Clarifies to Becton, Dickinson India [Read Order]
AAR ruled that IGST paid through TR-6 challans is not eligible for input tax credit under CGST law, as such challans do not qualify as prescribed documents for ITC under Rule 36.
![TR-6 Challan Not an Eligible Document for Availing Import IGST ITC: AAR Clarifies to Becton, Dickinson India [Read Order]](https://images.taxscan.in/h-upload/2025/08/01/2071975-tr-6-challan-becton-dickinson-gst-case-taxscan.webp "TR-6 Challan Not an Eligible Document for Availing Import IGST ITC: AAR Clarifies to Becton, Dickinson India [Read Order]")
The applicant, Becton Dickinson India Private Limited, is a private limited company engaged in the manufacturing and trading of medical equipment and devices. They also import and trade the same. The Applicant has filed an application seeking an Advance Ruling on the question regarding the availability of ITC on the import IGST, which is paid through TR-6 Challan in terms of...
The applicant, Becton Dickinson India Private Limited, is a private limited company engaged in the manufacturing and trading of medical equipment and devices. They also import and trade the same.
The Applicant has filed an application seeking an Advance Ruling on the question regarding the availability of ITC on the import IGST, which is paid through TR-6 Challan in terms of Section 16(2) of the Central Goods and Services Tax (CGST) Act and read with Rule 36 of the CGST Rules.
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The applicant argued that ITC should be available for IGST paid through TR-6 challans. They contended that TR-6 challans which are read with the Special Valuation Branch (SVB) order and customs authorities’ letters, should also be considered as valid duty-paying documents for the purpose of claiming ITC, as per Section 16(2) of the CGST Act and Rule 36 of the CGST Rules.
The AAR observed that only such documents like Bill of Entry, Courier Bill of Entry and other Declarations/Forms prescribed under the Customs Act, 1962, or rules made thereunder are covered under clause (d) for the purposes of availment of ITC.
The AAR held that neither a TR-6 challan as such, nor a TR-6 challan read with the Special Valuation Branch (SVB) order and letters issued by the tax authorities, as claimed by the applicant, can be considered as an eligible document for availingITC.
The Authority examined Rule 36(1)(d) of the CGST Rules which specifies that ITC can only be availed on a bill of entry or any similar document prescribed under the Customs Act for assessment of integrated tax.
The AAR bench comprising Balakrishnan S (CGST Member) and B Suseel Kumar (SGST Member) noted that IGST paid via TR-6 challan cannot be claimed as ITC since such challans are not prescribed documents under the CGST law.
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Consequently, the applicability of the time limit for claiming ITC under Section 16(4) became irrelevant for such payments and ITC eligibility is governed by the time limits under Section 16(4), when it is paid through reassessed bills of entry.
The applicant was represented by K Sivarajan.
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