Section 16 ITC Eligibility Analyzer

Illustration 1 — Clean, fully eligible credit

Invoice dated 15-05-2024 from a supplier who filed GSTR-1 on time (invoice reflected in GSTR-2B), goods received, and supplier paid on 01-08-2024 (within 180 days). Tax ₹18,000.

Expected: Verdict: Eligible — all Section 16(2) conditions satisfied.

Illustration 2 — Rule 37, supplier unpaid beyond 180 days

Invoice dated 10-09-2023 for ₹50,000 + ₹9,000 tax, goods received and matched in GSTR-2B, but the supplier has still not been paid.

Expected: Verdict: Ineligible / reverse — Rule 37 180-day window lapsed; reverse ITC with interest u/s 50.

Illustration 3 — Supplier has not filed GSTR-1

Invoice dated 20-02-2025, tax ₹45,000, payment made, but the supplier never filed GSTR-1 so the invoice is absent from GSTR-2B.

Expected: Verdict: Ineligible — Section 16(2)(aa) / Rule 36(4) not satisfied until the supplier reports it.

Illustration 4 — Full mixed portfolio (webinar demo)

Loads all four invoices together — one clean, one Rule 37 default, one supplier-not-filed and one unmatched in GSTR-2B.

Expected: Dashboard shows eligible, risky, ineligible and time-barred credit split by value.