The Rajasthan State GST department has provided a circular for the correct submission of GST returns.
Section 53 of CGST act/ RGST Act and section 17, section 18 of the IGST act read with Goods and Services Tax Settlement of Funds Rules, 2017 furnished for the way of the cross usage of IGST or might be of SGST and partition of IGST between centre, states and in-state towards the goal of settlement or transfer of funds via centre to state or vice-versa.
The department sees that the assessee has not revealed the ineligible ITC in GSTR-3B on account of IGST furnished on inward interstate supply and import supplies which might have topped in a short transfer of IGST funds to the state. The assessee is needed to show the ITC correctly in the monthly return GSTR-3B. The qualified ITC is auto-populated in Table 4 of GSTR-3B which would be modified by the assessee.
In the same case, attention is brought to the provision of rule 42 or the concern might be rule 43 in which the assessee needs to notify the ITC reversal in Table 4(B)(1) and any additional reversal or reversal under the provisions of rule 37 will be notified in Table 4(13)(2). Also, the ineligible ITC under the provisions of Section 17(5) has to be notified in Table 4(D)(1) and the Table 4(D)(2) would come in the ineligible/blocked credit under the provisions of Section 17(4) of the CGST/RGST Act read with Rule 38 and will indeed comprise of other ineligible ITC as ITC claimed wrongly in the earlier period, etc.
Under the circular provided, all the assessee who has not filed the information of the ineligible ITC or filed the information of the ineligible Input tax credit partially or does not notify the reversal of ITC fully or partially in her returns furnished towards the FY 2021-22 will notify this in the yearly return to be furnished in GSTR-9 while for the FY 2022-23 onwards, the information of ineligible ITC or partial information of the ineligible ITC or reversal of ITC which does not notify fully or partially will be notified in the next GSTR-3B to be furnished through net effect in that return.
Thus the assessee should ensure that they comply with the rules of the circular and furnish the next periodic returns in GSTR-3B without any error.
