When is ITC Available -On Bill Date or Receipt Date

Last updated at Nov. 3, 2020 by Teachoo

As per GST Rule,

Following condition must be satisfied for claiming ITC

Person should be in possession of Invoice/Debit Note/Other Documents
Person has Received Goods/Service
Tax Charged has Actually been paid to Government by seller
Seller has furnished GST Return showing sales (supply)

Hence ,it is important to have possession of invoice+possession of goods to claim ITC

Example

Suppose Goods Sold by A to B on 31 Jan but B Receive goods on 1 Feb

In this case, Invoice Date is 31 Jan and Goods Receive on 1 Feb

Both possession of goods and possession of invoice happens on 1 Feb

So ITC available on 1 Feb

Summary

For Sales, we consider Invoice Date

For purchase, we consider Receipt Date

Example

When is ITC Available -On Bill Date or Receipt Date.jpg

Transcript

Input Available on Date Goods received in Premises and Not Invoice Date However on Sales, Output to be Given as per Date of Invoice A B (Delhi) (Mumbai) Goods sent on 30 th Sep Goods received on 3 rd Oct A will show Sales on 30 th Sep B will show Input on 3 rd Oct Suppose A Makes Sales to B teachoo.com

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About the Author

CA Maninder Singh

CA Maninder Singh is a Chartered Accountant for the past 10 years. He also provides Accounts Tax GST Training in Delhi and Pune.