Any discrepancy in the claim of input tax credit in respect of any tax period, as per above shall be made available
• to the registered person making such claim electronically in FORM GST MIS-1 and
• to the supplier electronically in Form GST MIS-2
on or before the last date of the month in which the matching has been carried out.
A supplier to whom any discrepancy is made available in GST MIS-1 may make suitable rectifications in the statement of outward supplies to be furnished for the month in which the discrepancy is made available.
The recipient to whom any discrepancy is made available in GST MIS-2 may make suitable rectifications in the statement of inward supplies to be furnished for the month in which the discrepancy is made available.
Where the discrepancy is not rectified in para 10.59 or 10.60 above an amount to the extent of discrepancy shall be added to the output tax liability of the recipient in his return to be furnished in Form GSTR-3 for the month succeeding the month in which the discrepancy is made available.
Explanation 1.: Rectification by a supplier means adding or correcting the details of an outward supply in his valid return so as to match the details of corresponding inward supply declared by the recipient.
Explanation 2.: Rectification by the recipient means deleting or correcting the details of an inward supply so as to match the details of corresponding outward supply declared by the supplier.
The recipient shall be eligible to reduce from his output tax liability, the amount, if the supplier declares the details of the invoice or debit note in his valid return within the stipulated time, which had not been declared by mistake or omission as specified in sub-section (9) of section 39. In such cases, the ITC which had been transferred to liability register shall be credited to the corresponding heads of ITC ledger and the interest paid by the recipient shall be refunded by crediting the amount in the corresponding head of his Electronic Cash Ledger.
Process of matching of ITC has been summarised as follows: