Oct 20 remains deadline for availing GST input tax credit

The finance Ministry on Thursday allayed fears among businesses about reconciliation of returns and said the deadline to avail input tax credit (ITC) for last financial year (FY18) will remain October 20.

Businesses had expressed concern about the October 20 deadline for availing ITC for July 2017-March 2018 period, saying their returns cannot be reconciled with the returns filed by vendors. Such a concern arose after the last date for filing final sales return GSTR-1 has been set as October 31.

The ministry said since the ITC is being availed on the basis of summary sales return or GSTR-3B filed, hence the deadline has been kept at October 20. The GSTR-3B of a particular month has to be filed by the 20th day of the subsequent month. “With taxpayers self-assessing and availing ITC through return in Form GSTR-3B, the last date for availing ITC in relation to said invoices issued by corresponding supplier(s) from July, 2017 to March, 2018, is the last date for filing of such return for September 2018, i.e., October 20, 2018,” it said in a statement. The ministry clarified that furnishing of sales details in GSTR-1 by the corresponding suppliers and the facility to view the same in GSTR-2A by the recipient is in nature of taxpayer facilitation and does not impact the ability of taxpayer to avail ITC on self-assessment basis. GSTR-2A is a system generated purchase return.