New Provision- ITC not reflected in GSTR-2A, Government put a restriction for such ITC
As per Notification No. 49/2019 Central Tax, the following sub-rule shall be inserted in Central Goods and Services Tax (Sixth Amendment) Rules, 2019 dated 9th Oct ,2019:
As per sub-rule 4 of Rule 16 of Central Goods and Services Tax Rules, 2017, Input Tax Credit to be availed in GSTR-3B in respect of invoices or debit notes but the details of such invoices or debit notes have not been uploaded by the suppliers in GSTR-1, shall not exceed 20% of eligible Input Tax Credit available in respect of invoices or debit notes ,the details of which have not been uploaded by the suppliers in GSTR-1.
For Example:
(A) ITC in Books of Accounts =100000
(B) ITC reflected in GSTR-2A =80000
(C) ITC not reflected in GSTR-2A (A-B) = 20000
(D) Block ITC under Sec17(5) = 10000
(E) Eligible ITC (B-D)= 70000
(F) 20% of Eligible ITC = E*20%=14000
(G) ITC not available, being not reflected in 2A (C-F)=6000
The above ITC not available become eligible when reflected in GSTR-2A.