Notification No.: 42/2018 – Central Tax
Date of Notification: 4th September 2018
Relevant Sections and Rules:
- Central GST Act, 2017:
- Section 168: Power to issue instructions
- CGST Rules, 2017:
- Rule 40(1)(b): Manner of claiming ITC upon opting out of composition scheme
- FORM GST ITC-01: Declaration for ITC claim upon transition from composition scheme
- Integrated GST Act: Not applicable
Summary of Notification
The Central Government, exercising powers under Section 168 of the CGST Act and Rule 40(1)(b) of the CGST Rules, extended the time limit for filing FORM GST ITC-01.
This extension is granted to registered persons who filed FORM GST CMP-04 (intimation for withdrawal from the composition scheme) between 2nd March 2018 and 31st March 2018.
Such persons are now allowed to file FORM GST ITC-01 within 30 days from the date of publication of this notification in the Official Gazette (i.e., from 4th September 2018).
This facilitates smooth claiming of input tax credit on stocks and inputs held after opting out of the composition scheme.
