Sec-16(2)(aa) Analysis, New Clause inserted in Sec-16(2) vide Notification No. 39/2021- Central Tax Dated 21-12-2021

Notification No. 39/2021-Central Tax dated 21-12-2021

[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Subsection (ii)]

Government of India
Ministry of Finance
(Department of Revenue)
Central Board of Indirect Taxes and Customs
Notification No. 39/2021 – Central Tax
New Delhi, the 21st December, 2021

S.O. …..(E).— In exercise of the powers conferred by clause (b) of sub-section (2) of section 1 of the Finance Act, 2021 (13 of 2021), the Central Government hereby appoints the 1st day of January, 2022, as the date on which the provisions of sections 108, 109 and 113 to 122 of the said Act shall come into force.

[F. No. CBIC-20006/26/2021-GST]
(Rajeev Ranjan)
Under Secretary to the Government of India

Click here to download : Finance Act, 2021

Sec-16 : Eligibility and Conditions for claiming ITC (Till 31-12-2021)
(1) Goods or Services or both purchased for business purpose.
(2) (a) Recipient/Buyer has Tax Invoice/Debit Note issued by Supplier;
       (b) Recipient/Buyer has received Goods or Service or both;
       ©  Tax charged on such supply has been paid by cash or credit ledger and
       (d) GSTR-3B has been filed.
(3) Depreciation not claimed on tax component.
(4) ITC claimed till due date of Sept-3B of next FY.
Rule : 36(4) – ITC available in 2A + 5% extra (if invoice not furnished by Supplier).
Sec-16 : Eligibility and Conditions for claiming ITC  (From 01-01-2022)
(1) Goods or Services or both purchased for business purpose.
(2) (a) Recipient/Buyer has Tax Invoice/Debit Note issued by Supplier;
      (aa) TAX INVOICE/DEBIT NOTE ISSUED BY SUPPLIER HAS BEEN FURNISHED
IN HIS GSTR-1 AND IS REFLECTED IN BUYER’S GSTR-2B.
      (b) Recipient/Buyer has received Goods or Service or both;
      ©  Tax charged on such supply has been paid by cash or credit ledger and
      (d) GSTR-3B has been filed.
(3) Depreciation not claimed on tax component.
(4) ITC claimed till due date of Sept-3B of next FY.
Rule : 36(4) – ITC available in 2A + 5% extra (if invoice not furnished by Supplier).

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