AAAR Upholds AAR Ruling: ITC on Import IGST via TR-6 Challan Not Allowed, Appeal Dismissed

The present appeal (A.R.Appeal No.05/2025 AAAR), dated August 11, 2025, has been filed by a company named M/s. Becton Dickinson India Private Limited (appellant) before the Tamil Nadu State Appellate Authority for Advance Ruling (Constituted Under Section 99 of the Tamil Nadu Goods and Services Tax Act 2017).

The benches comprised Shri Madan Mohan Singh, I.R.S., Chief Commissioner of GST and Central Excise, Member and Shri S. Nagarajan, I.A.S., Commissioner of Commercial Taxes, Member. The authority announced its decision vide order [Order-in-Appeal No. AAAR/06/2025 (AR)], dated 08.10.2025, under Section 101(1) of the Tamil Nadu Goods and Services Tax Act, 2017.

The applicant is registered under GST, hence possesses a GSTIN no. 33AAACB2656AIZE and is located at 34, Assisi Nagar, West Thottam, Madhavaram, Tiruvallur 600 051. The applicant, through the present appeal, has challenged the earlier order of Advance Ruling No. 20/ARA/2025 dated 09.05.2025 passed by the Authority for Advance Ruling, Tamil Nadu (‘AAR‘) on the Application for Advance Ruling filed by the Appellant.

By seeking the earlier advance ruling, the applicant had asked the following questions:

“Question 1- Whether the Applicant can avail the ITC of the import IGST paid through TR-6 Challan in terms of Section 16(2) of the CGST Act read with rule 36 of the CGST Rules?

Question 2- Whether the eligibility to avail ITC of the import IGST paid vide TR-6 Challan is subject to the time limit prescribed under Section 16(4) of the CGST Act?

Question 3- Whether the eligibility to avail ITC of the import IGST paid vide the reassessed bill of entry is subject to the time limit prescribed under Section 16(4) of the CGST Act?

Question 4- If the answer to Q.3 for the bill of entry is in the affirmative, would the time limit for availing ITC begin from the initial date of the bill of entry originally filed or from the date of reassessment of the bill of entry?”

The AAR vide Ruling No. 20/ARA/2025 dated 09.05.2025 ruled as follows:

Answer 1- Neither a TR-6 challan as such nor a TR-6 challan read with the SVB order and letters issued by the tax authorities, as claimed by the applicant in the instant case, can be considered as an eligible document for the purpose of availment of ITC.

Question 2- As TR-6 challan cannot be considered as an eligible document for the purpose of availment of ITC, the question of answering this query does not arise.

Question 3- Availment of ITC on import IGST on the basis of a reassessed bill of entry is very much governed by the time limit as prescribed under Section 16(4) of the CGST Act, 2017.

Question 4- The time limit for availing ITC on the differential IGST paid would begin from the date of reassessment of the bill of entry.

Appellant, dissatisfied with the aforementioned ruling, then approached the Tamil Nadu State Appellate Authority for Advance Ruling (AAAR).

What Did AAAR Rule?

The Tamil Nadu State Appellate Authority for Advance Ruling (AAAR) endorsed the earlier ruling of AAR (Advance Ruling No. 20/ARA/2025 dated 09.05.2025), and we find no reason to interfere with the same. The appeal filed by the appellant is dismissed.