All types of Input Tax Credit (ITC) Forms under GST

There are 4 types of ITC Forms, which are as follows:-

♣ ITC 01 – ITC for new GST Registration

♣ ITC 02 – Transfer of ITC in case of sale/merger etc.

♣ ITC 03 – Reversal of ITC

♣ ITC 04 – ITC on goods sent to Job Worker

1) ITC 01 – ITC for new GST Registration

The declaration form in ITC – 01 is required to be filed in the following cases:

  1. When an application for GST registration is made within 30 days of becoming liable to pay GST. [Section 18(1)(a)]
  2. When any person opts for voluntary registration. [Section 18(1)(b)]
  3. When any person opts out of composition scheme but continues to be registered as a regular taxpayer. [Section 18(1)(c)]
  4. When an exempt supply of goods/services becomes taxablesupply. [Section 18(1)(d)]

(Input tax credit is allowed in respect of inputs held in stock, inputs contained in semi finished/finished goods, capital goods on the cut-off date.)

2) ITC 02 – Transfer of ITC in case of sale/merger etc.

A registered taxpayer can apply for transfer the matched Input Tax Credit available in the Electronic Credit Ledger to another business entity in case of transfer of business by way of sale of business / merger / demerger by filing of ITC declaration in FORM GST ITC-02.

3) ITC 03 – Reversal of ITC

It should be filed under two situations:

  • If one is opting for Composition Scheme.
  • If any taxable supply becomes exempt.

If a taxpayer is filing ITC 03 on account of opting for composition scheme, he should file this form once in a financial year. This is because once he opts for composition scheme in the beginning of the financial year, it cannot be changed till the next financial year.

4) ITC 04 – ITC on goods sent to Job Worker

FORM GST ITC-04 must be submitted by the principal every quarter. He must include the details of challans in respect of the following:

  1. Goods dispatched to a job worker or
  2. Received from a job worker or
  3. Sent from one job worker to another

ITC-04 is a quarterly form. It must be furnished on or before 25th day of the month succeeding the quarter. For example, for Oct-Dec quarter, the due date is 25th Jan.

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