Alert: GST Department is Sending Recovery Emails To Those Who Have Filed Returns And Taken ITC Claim After Due Date

The GST department is sending mails to dealers who have filed GST returns and taken Input Tax Credit (ITC) after the due date, asking them to pay ITC along with interest. The department says that if the dealers do not do so, recovery action will be taken against them.

Actually, in section 16(4) of the CGST Act, the date for claiming ITC for the year 2017-18 was 23 April 2019 and the last date for claiming ITC for the year 2018-19 was 20 October 2019. Traders who have filed GST Returns and after these dates and have taken ITC, now the department is informing them by sending mail that such traders should automatically pay the ITC claimed after these dates with interest, otherwise recovery action will be taken against them.

In this matter, tax expert Navneet Garg says that section 16(4) should be amended in the upcoming budget. This will end the problems of the traders.

Dhanraj Sharma

Dhanraj Sharma is CEO of Tax Concept. He is on a Mission to Educate and Empower 10,000+ Professionals across the Country.

    2 thoughts on “Alert: GST Department is Sending Recovery Emails To Those Who Have Filed Returns And Taken ITC Claim After Due Date

    1. The greatest issue is to prevent from issuance of fake tax invoice and thereby to get fake ITC. Often I receive info from different online site that some is arrested or department has unearthed gotala. My suggestion is to employ out source agency to check these practices and rewarding the agency to reveal the mal practice.

    2. Some Dealers are collecting GST amount and not compiling with the GST procedure many calls made to them are invain. None of the emails followed by us is also not replied. Kindly take strict action such dealers who don’t stick to the department deadline !! Last GSTR1 is filed during the end of November 2019.

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