Intro Paragraph
Time Limit for Bill of Entry is crucial for importers claiming input tax credit (ITC) under GST. The CBIC has clarified that the new 30-day condition under Section 16(4) applies to import invoices too. Missing this deadline can lead to ITC denial. Let’s decode what this means.
What is a Bill of Entry?
- A Bill of Entry is a legal document filed by importers with Customs.
- It declares goods imported and enables duty assessment.
- It forms the base for claiming IGST credit on imported goods under GST.
Updated Time Limit for Bill of Entry Credit
Section 16(4) of the CGST Act—amended by the Finance Act, 2024—sets a strict time limit to claim ITC.
New condition:
- ITC must be claimed within 30 days from the due date of furnishing details in GSTR-1/IFF by the supplier or from the date of the Bill of Entry for imports.
Applies to:
- Regular invoices (domestic)
- Debit notes
- Import of goods (Bill of Entry)
Legal Basis:
- Refer Finance Act, 2024 amending Section 16(4)
- CBIC FAQs and Circulars clarify inclusion of Bill of Entry in time limit conditions.
Official Source: CBIC
Case Law Insight
Courts have consistently held that timely filing of the Bill of Entry is a must for customs clearance. Now, for GST, it’s equally critical—missing the 30-day condition means your ITC claim can be rejected during audit or assessment.
Practical Compliance Steps
To avoid ITC loss on imports:
- Track Bill of Entry dates in your ERP.
- File returns on time—match GSTR-2B with customs data.
- Train staff on new timelines.
- Keep documentary evidence handy for audits.
Quick Reference Table
| Particulars | Old Rule | New Rule (From FY 2024-25) |
|---|---|---|
| Time limit for domestic ITC | Earlier of due date of GSTR-3B for September of next FY or annual return | Same applies, plus 30-day limit post GSTR-1/IFF |
| Time limit for import ITC | Not specified separately | Now covered under Section 16(4) – 30 days from Bill of Entry date |
Expert Tip on Bill of Entry Time Limit
Many businesses miss claiming IGST credit due to delays in Bill of Entry filing. Efiletax recommends setting automated alerts to file the Bill of Entry within a week of goods arrival.
Summary
Time limit for Bill of Entry credit now falls under Section 16(4) of GST. Importers must claim IGST within 30 days of the Bill of Entry date to avoid ITC denial. CBIC clarifies this new compliance requirement. Stay updated and compliant with Efiletax.
FAQs on Bill of Entry ITC
Q1. Is there a time limit for claiming IGST on imports?
Yes, from FY 2024–25, claim it within 30 days from the Bill of Entry date.
Q2. What happens if I miss the 30-day limit?
You lose the right to claim that ITC.
Q3. Where can I check official clarification?
Refer to CBIC’s official site: www.cbic.gov.in
Final Word
The Time Limit for Bill of Entry is now legally enforceable for ITC. Don’t risk losing your import credit—stay vigilant. For error-free GST and import compliance, contact Efiletax today!