Jan 9, 20221 min read

NO INPUT TAX CREDIT untill not refelects in GSTR 2B

Updated: Jan 20, 2022

Now, on 21.12.2021 vide Notification No. 39/2021 – Central Tax dated 21st December 2021 affecting the tax law from 01.01.2022 which has introduced a sub-clause (aa) under the above-mentioned clause 16(2)(a) that requires a registered person can avail tax credit on those invoices only which has been reflected in GSTR 2A or GSTR2B. ( it means 100% matching of the invoice is required). Above rule 36 though has been introduced through Rules has a lot of controversy for it application. It has allowed 5% of ITC of invoices that have been reflected in GSTR2A or GSTR2B for such invoices which have not been reflected in GSTR2A or GSTR2B. But now, this rule has been ineffective by the introduction of the aforementioned clause under section 16 of CGST ACT 2017. Such insertion of clause now mandatorily requires every registered person to avail only those ITC which has been reflected in GSTR2A or GSTR2B.