Availment of Input tax Credit between the period of registration cancellation u/s 29 to revocation of registration u/s 30 [ Section 16(6) of CGST Act ] - GST Ready Reckoner - GST

Section 16(6) of CGST Act - Input tax Credit between the period of registration cancellation to revocation of registration [ Inserted vide Finance (No.2 ) Act, 2024 , w.e.f. 01.07.2017 ] [ Come into force w.e.f. 01.11.2024 vide N.No. 17/2024 dated 27.09.2024 ] Where registration of a registered person is cancelled under section 29 and subsequently the cancellation of registration is revoked by any order, either under section 30 or pursuant to any order made by the Appellate Authority or the Appellate Tribunal or court and where availment of ITC in respect of an invoice or debit note was not restricted under section 16(4) on the date of order of cancellation of registration, the said person shall be entitled to take the input tax credit in respect of such invoice or debit note for supply of goods or services or both, in a return under section 39, (i) filed up to 30th day of November following the financial year to which such invoice or debit note pertains or furnishing of the relevant annual return, whichever is earlier; or (ii) for the period from the date of cancellation of registration or the effective date of cancellation of registration, as the case may be, till the date of order of revocation of cancellation of registration, where such return is filed within thirty days from the date of order of revocation of cancellation of registration, whichever is later. No refund shall be made of all the tax paid or the input tax credit reversed, which would not have been so paid, or not reversed. [ Inserted vide Section 150 of Finance (No. 2) Act, 2024 ] Note - Where tax is payable on reverse charge basis by the recipient, such as, where an activity is performed by the overseas related person for the entity located in India and no consideration is involved, such an activity may not be considered as supply of services by the concerned recipient in India and accordingly, no invoice is issued as well as no tax is paid by the said recipient under RCM in respect of the same.