Find
This is a common ground under Sec 16(2)(c). Your defence is proof that the purchase was genuine, the supplier was active then, and you paid him through bank.
GST
DRC-01A for ITC from a supplier later cancelled
Updated . Every paid answer is checked by a CA. Free AI answers are labelled until a CA verifies them.
Provisions
Sec 16(2)(c), CGST Act 2017; Sec 155, CGST Act 2017; Rule 142(1A), CGST Rules 2017
Analysis
Reply with an invoice-wise evidence table and ask for the material relied on. If the supplier was cancelled retrospectively, show his status at the time of the invoice. If evidence is weak, compare the cost of paying now with the penalty later. See the fake ITC defence process for detail.
Close
- List the invoices from that supplier.
- Collect movement, receipt and payment proof.
- Ask for the material relied on.
- File Part B with evidence, or pay if the case is weak.
Connect now
A Savvy replies in minutes.
Fixed price before you pay. Your Savvy is paid only after you accept the work.
General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.