Question ID : 33794

ITC

1. Section 16(4) Provides for Time Limit regarding Input tax set off. It is not clear to me whether the time limit apllies for Input tax “Availment” or Input tax ‘Credit”

Answer ID : 72943

16(4) time limit applies to show the credit in your 3B return which is to appear in your Electronic Credit Ledger balance. Fine differentiation between availment and credit, stated in query, may be understood differently. So, please consider end date for invoice dated in 2017-18 to be shown in 3B before Oct 20.

Answer ID : 72957

There is a difference between Availment of ITC and Utilization of ITC for payment of Tax. Section 16(4) applies for Availment of ITC.

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