Answer

1. F

   Facts

   Under Sec 16(2)(aa) and 16(2)(c), ITC is allowed only when the supplier reports the invoice and pays the tax. If the supplier has not filed, the credit is not available to you yet, and DRC-01C will flag it.

2. P

   Provisions and law

   • Sec 16(2)(aa), CGST Act 2017ITC only when the invoice is furnished by the supplier and communicated in GSTR-2B
   • Sec 16(2)(c), CGST Act 2017ITC only if the tax charged has actually been paid to the government by the supplier
   • Rule 37A, CGST Rules 2017ITC to be reversed by 30 November if the supplier has not filed GSTR-3B for that period
3. A

   Analysis

   If ₹1,50,000 of credit relates to a supplier who has not filed GSTR-1 for months, pay it back through DRC-03 and pursue the supplier. Once he files and the invoice appears in GSTR-2B, you can claim it, subject to the Sec 16(4) time limit. Check the supplier's filing status on Search Taxpayer before making further purchases.

4. C

   Conclusion

   1. 1Check the supplier's GSTIN status and filing history
   2. 2Reverse or pay back the credit through DRC-03
   3. 3Recover the GST from the supplier or hold his payment
   4. 4Claim the credit when it appears in GSTR-2B within time

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.