Rectification of discrepancy in claim of input tax credit and reversal of claim of input tax credit

Rule-71 of CGST Rules 2017

Com­mu­ni­ca­tion and rec­ti­fi­ca­tion of dis­crep­an­cy in claim of input tax cred­it and rever­sal of claim of input tax credit.- 

(1) Any dis­crep­an­cy in the claim of input tax cred­it in respect of any tax peri­od, spec­i­fied in sub-sec­tion (3) of sec­tion 42 and the details of out­put tax liable to be added under sub-sec­tion (5) of the said sec­tion on account of con­tin­u­a­tion of such dis­crep­an­cy, shall be made avail­able to the recip­i­ent mak­ing such claim elec­tron­i­cal­ly in FORM GST MIS‑1 and to the sup­pli­er elec­tron­i­cal­ly in FORM GST MIS‑2 through the com­mon por­tal on or before the last date of the month in which the match­ing has been car­ried out.

• A sup­pli­er to whom any dis­crep­an­cy is made avail­able under sub-rule (1) may make suit­able rec­ti­fi­ca­tions in the state­ment of out­ward sup­plies to be fur­nished for the month in which the dis­crep­an­cy is made
• A recip­i­ent to whom any dis­crep­an­cy is made avail­able under sub-rule (1) may make suit­able rec­ti­fi­ca­tions in the state­ment of inward sup­plies to be fur­nished for the month in which the dis­crep­an­cy is made
• Where the dis­crep­an­cy is not rec­ti­fied under sub-rule (2) or sub-rule (3), an amount to the extent of dis­crep­an­cy shall be added to the out­put tax lia­bil­i­ty of the recip­i­ent in his return to be fur­nished in FORM GSTR‑3 for the month suc­ceed­ing the month in which the dis­crep­an­cy is made

Expla­na­tion.- For the pur­pos­es of this rule, it is here­by declared that -

• Rec­ti­fi­ca­tion by a sup­pli­er means adding or cor­rect­ing the details of an out­ward sup­ply in his valid return so as to match the details of cor­re­spond­ing inward sup­ply declared by the recipient;

Rec­ti­fi­ca­tion by the recip­i­ent means delet­ing or cor­rect­ing the details of an inward sup­ply so as to match the details of cor­re­spond­ing out­ward sup­ply declared by the supplier.