GST Registration to be Cancelled if ITC Taken in GSTR-3B is more than 10% of GSTR-2B

The Goods and Services Tax Network (“GSTN“) has published an update stating that if the Input Tax Credit (“ITC”) taken in GSTR-3B differs by more than 10% from GSTR-2B, the GST registration will be terminated.

If the percentage difference in liability recorded in GSTR-3B differs more than 10% from that declared in GSTR-1, or if the ITC claimed in GSTR-3B changes more than 10% from the numbers auto-populated from GSTR-2B on the basis of GSTR-1 filed by suppliers, registration can be suspended.