GST Input Tax credit Taking last date | Avail by November 2022

GST Input tax credit time limit

There may be many instances wherein you may have not taken input tax credit on the invoices received from 01.04.2021 to 31^st March 2022 from your supplier. Also, this is applicable in the upcoming financial years.

Therefore if you have such invoices and you want to claim ITC then you can book and take such credit while filing GSTR 3B of September or October 2022 but before 30th November 2022.  

In past, the last date to avail of ITC of the previous year was allowed until filing GSTR 3B of September of the next year or the annual return whichever was earlier.

However, this has been revised with effect from 1st October 2022. In this regard, the government has issued a Notification No. 18/2022-Central Tax dated 28.09.2022 and implemented sections 100 to 114, of the Finance Act, 2022, into GST. Thus, due to this amendment in the CGST section, the previous date has been replaced with 30th November.

How do take the Input Tax credit of the previous year in the Current year?

This is the last chance to take ITC of the previous financial year this month.  Let us see how you can easily claim such credit this month.

First of all, make use of the GSTR 2B online return facility available. Follow the below steps to take ITC on pending invoices.

1. Download the GSTR 2B excel file from the GST portal month-wise.
2. Reconcile entries in GSTR 2B with that of input already declared by you in past GST Returns.
3. Select the entries on which you have not availed of ITC.
4. Check conditions for claiming ITC.   Refer to the Input tax credit rules  for more information
5. If you meet the above conditions, show all such ITC in the current month’s GSTR 3B.

In view of taking ITC of the previous year, the ministry of finance issued a press release on 04th October 2022. As per the said press release the ITC of FY 2021-2022 can be availed until 30th November 2022 and this is applicable for FY 2021-22 onwards only.

The taxpayer can take the ITC as per the provisions of Section 16 of the Act and make the reconciliation later.  Therefore if you have a tax invoice or debit note from a supplier and you have received the goods or services you can take ITC.

Author’s Suggestions for Taking ITC

Note: In order to avoid litigation, We suggest you not take ITC, if you do not have a valid invoice from the supplier for claiming ITC.

It is possible that the supplier has uploaded invoices but did not send a hard copy of the invoice to you.  In that case, we suggest you ask your supplier to give invoice copies for such transactions.

After receipt of the Invoice, you can take ITC.  Therefore GST input tax credit’s last date to avail is 30th November 2022 of the previous financial year in your books.

This means you need to show such ITC  of the previous year before filing GSTR 3B for the month of October 2022.  

Quick Links on Input Tax Credit

Latest News ITC in GST

See the latest changes on Input tax credit in GST. Know more about recent updates on ITC.

The Procedure of Input tax credit

See the step-by-step guide and complete the input tax credit availing procedure under GST. Know more about Input Tax credit practical problems.

GST ITC Claim Rules

Learn what are the various conditions for availing of ITC in GST. Check out the invoicing rules for ITC.

Input Tax credit not available

Here is the list of types of goods and services where the input tax credit is not available. Learn more about input tax credit eligibility.