Text
The text below is the section as served by the CBIC tax information portal on 17 September 2026, with the portal's own amendment footnote markers (shown as small numerals before a bracket) and its footnotes.[1] The Act as published in the Gazette of India is the legal source.
Section 140, verbatim (show)
Section 140
* Section 140. Transitional arrangements for input tax credit.-
(1) A registered person, other than a person opting to pay tax under section 10, shall be entitled to take, in his electronic credit ledger, the amount of CENVAT credit 1[of eligible duties] carried forward in the return relating to the period ending with the day immediately preceding the appointed day, furnished by him under the existing law 2[within such time and] in such manner as may be prescribed:
Provided that the registered person shall not be allowed to take credit in the following circumstances, namely:-
(i) where the said amount of credit is not admissible as input tax credit under this Act; or
(ii) where he has not furnished all the returns required under the existing law for the period of six months immediately preceding the appointed date; or
(iii) where the said amount of credit relates to goods manufactured and cleared under such exemption notifications as are notified by the Government.
(2) A registered person, other than a person opting to pay tax under section 10, shall be entitled to take, in his electronic credit ledger, credit of the unavailed CENVAT credit in respect of capital goods, not carried forward in a return, furnished under the existing law by him, for the period ending with the day immediately preceding the appointed day 2[within such time and] in such manner as may be prescribed:
Provided that the registered person shall not be allowed to take credit unless the said credit was admissible as CENVAT credit under the existing law and is also admissible as input tax credit under this Act.
Explanation.- For the purposes of this sub-section, the expression "unavailed CENVAT credit" means the amount that remains after subtracting the amount of CENVAT credit already availed in respect of capital goods by the taxable person under the existing law from the aggregate amount of CENVAT credit to which the said person was entitled in respect of the said capital goods under the existing law.
(3) A registered person, who was not liable to be registered under the existing law, or who was engaged in the manufacture of exempted goods or provision of exempted services, or who was providing works contract service and was availing of the benefit of notification No. 26/2012-Service Tax, dated the 20th June, 2012 or a first stage dealer or a second stage dealer or a registered importer or a depot of a manufacturer, shall be entitled to take, in his electronic credit ledger, credit of eligible duties in respect of inputs held in stock and inputs contained in semi-finished or finished 4[goods held in stock on the appointed day, within such time and in such manner as may be prescribed, subject to] the following conditions, namely:-
(i) such inputs or goods are used or intended to be used for making taxable supplies under this Act;
(ii) the said registered person is eligible for input tax credit on such inputs under this Act;
(iii) the said registered person is in possession of invoice or other prescribed documents evidencing payment of duty under the existing law in respect of such inputs;
(iv) such invoices or other prescribed documents were issued not earlier than twelve months immediately preceding the appointed day; and
(v) the supplier of services is not eligible for any abatement under this Act:
Provided that where a registered person, other than a manufacturer or a supplier of services, is not in possession of an invoice or any other documents evidencing payment of duty in respect of inputs, then, such registered person shall, subject to such conditions, limitations and safeguards as may be prescribed, including that the said taxable person shall pass on the benefit of such credit by way of reduced prices to the recipient, be allowed to take credit at such rate and in such manner as may be prescribed.
(4) A registered person, who was engaged in the manufacture of taxable as well as exempted goods under the Central Excise Act, 1944 (1 of 1944) or provision of taxable as well as exempted services under Chapter V of the Finance Act, 1994 (32 of 1994), but which are liable to tax under this Act, shall be entitled to take, in his electronic credit ledger,-
(a) the amount of CENVAT credit carried forward in a return furnished under the existing law by him in accordance with the provisions of sub-section (1); and
(b) the amount of CENVAT credit of eligible duties in respect of inputs held in stock and inputs contained in semi-finished or finished goods held in stock on the appointed day, relating to such exempted goods or services, in accordance with the provisions of sub-section (3).
(5) A registered person shall be entitled to take, in his electronic credit ledger, credit of eligible duties and taxes in respect of inputs or input services received on or after the appointed day but the duty or tax in respect of which has been paid by the supplier under the 5[existing law, within such time and in such manner as may be prescribed,] subject to the condition that the invoice or any other duty or tax paying document of the same was recorded in the books of account of such person within a period of thirty days from the appointed day:
Provided that the period of thirty days may, on sufficient cause being shown, be extended by the Commissioner for a further period not exceeding thirty days:
Provided further that said registered person shall furnish a statement, in such manner as may be prescribed, in respect of credit that has been taken under this subsection.
(6) A registered person, who was either paying tax at a fixed rate or paying a fixed amount in lieu of the tax payable under the existing law shall be entitled to take, in his electronic credit ledger, credit of eligible duties in respect of inputs held in stock and inputs contained in semi-finished or finished 6[goods held in stock on the appointed day, within such time and in such manner as may be prescribed, subject to] the following conditions, namely:-
(i) such inputs or goods are used or intended to be used for making taxable supplies under this Act;
(ii) the said registered person is not paying tax under section 10;
(iii) the said registered person is eligible for input tax credit on such inputs under this Act;
(iv) the said registered person is in possession of invoice or other prescribed documents evidencing payment of duty under the existing law in respect of inputs; and
(v) such invoices or other prescribed documents were issued not earlier than twelve months immediately preceding the appointed day.
(7) Notwithstanding anything to the contrary contained in this Act, the input tax credit on account of any services received prior to the appointed day by an Input Service Distributor shall be eligible for distribution as 7[credit under this Act, within such time and in such manner as may be prescribed, 13[whether the invoices relating to such services are received prior to, on or after, the appointed day].
(8) Where a registered person having centralised registration under the existing law has obtained a registration under this Act, such person shall be allowed to take, in his electronic credit ledger, credit of the amount of CENVAT credit carried forward in a return, furnished under the existing law by him, in respect of the period ending with the day immediately preceding the appointed day 8[within such time and in such manner] as may be prescribed:
Provided that if the registered person furnishes his return for the period ending with the day immediately preceding the appointed day within three months of the appointed day, such credit shall be allowed subject to the condition that the said return is either an original return or a revised return where the credit has been reduced from that claimed earlier:
Provided further that the registered person shall not be allowed to take credit unless the said amount is admissible as input tax credit under this Act:
Provided also that such credit may be transferred to any of the registered persons having the same Permanent Account Number for which the centralised registration was obtained under the existing law.
(9) Where any CENVAT credit availed for the input services provided under the existing law has been reversed due to non-payment of the consideration within a period of three months, such 9[credit can be reclaimed, within such time and in such manner as may be prescribed, subject to] the condition that the registered person has made the payment of the consideration for that supply of services within a period of three months from the appointed day.
(10) The amount of credit under sub-sections (3), (4) and (6) shall be calculated in such manner as may be prescribed.
Explanation 1. -For the purposes of 10[sub-sections (1), (3), (4)] and (6), the expression "eligible duties" means-
(i) the additional duty of excise leviable under section 3 of the Additional Duties of Excise (Goods of Special Importance) Act, 1957 (58 of 1957);
(ii) the additional duty leviable under sub-section (1) of section 3 of the Customs Tariff Act, 1975 (51 of 1975);
(iii) the additional duty leviable under sub-section (5) of section 3 of the Customs Tariff Act, 1975 (51 of 1975);
(iv) 11[****];
(v) the duty of excise specified in the First Schedule to the Central Excise Tariff Act, 1985 (5 of 1986);
(vi) the duty of excise specified in the Second Schedule to the Central Excise Tariff Act, 1985 (5 of 1986); and
(vii) the National Calamity Contingent Duty leviable under section 136 of the Finance Act, 2001 (14 of 2001),
in respect of inputs held in stock and inputs contained in semi-finished or finished goods held in stock on the appointed day.
Explanation 2.-For the purposes of 10[sub-sections (1) and (5)], the expression "eligible duties and taxes" means-
(i) the additional duty of excise leviable under section 3 of the Additional Duties of Excise (Goods of Special Importance) Act, 1957 (58 of 1957);
(ii) the additional duty leviable under sub-section (1) of section 3 of the Customs Tariff Act, 1975 (51 of 1975);
(iii) the additional duty leviable under sub-section (5) of section 3 of the Customs Tariff Act, 1975 (51 of 1975);
(iv) 11[****];
(v) the duty of excise specified in the First Schedule to the Central Excise Tariff Act, 1985;
(vi) the duty of excise specified in the Second Schedule to the Central Excise Tariff Act, 1985 (5 of 1986);
(vii) the National Calamity Contingent Duty leviable under section 136 of the Finance Act, 2001 (14 of 2001); and
(viii) the service tax leviable under section 66B of the Finance Act, 1994 (32 of 1994),
in respect of inputs and input services received on or after the appointed day.
12[Explanation 3.- For removal of doubts, it is hereby clarified that the expression "eligible duties and taxes" excludes any cess which has not been specified in Explanation 1 or Explanation 2 and any cess which is collected as additional duty of customs under sub-section (1) of section 3 of the Customs Tariff Act, 1975 (51 of 1975).]
* Enforced w.e.f . 1st July, 2017.
1. Inserted w.e.f. 01.07.2017 by s.28 of The Central Goods and Services Tax (Amendment) Act, 2018 (No. 31 of 2018) - Brought into force w.e.f. 01st February, 2019.
2. Inserted w.e.f. 01.07.2017 by s.128 of The Finance Act, 2020 (No. 12 of 2020)-Brought into force w.e.f 18.05.2020 vide Notification No. 43/2020-C.T., dated 16-5-2020.
4. Substituted w.e.f. 01.07.2017 for " goods held in stock on the appointed day subject to " by s.128 of The Finance Act, 2020 (No. 12 of 2020)-Brought into force w.e.f 18.05.2020 vide Notification No. 43/2020-C.T., dated 16-5-2020 .
5. Substituted w.e.f. 01.07.2017 for " existing law " by s.128 of The Finance Act, 2020 (No. 12 of 2020) -Brought into force w.e.f 18.05.2020 vide Notification No. 43/2020-C.T., dated 16-5-2020.
6. Substituted w.e.f. 01.07.2017 for " goods held in stock on the appointed day, subject to " by s.128 of The Finance Act, 2020 (No. 12 of 2020)-Brought into force w.e.f 18.05.2020 vide Notification No. 43/2020-C.T., dated 16-5-2020.
7. Substituted w.e.f. 01.07.2017 for " credit under this Act even if " by s.128 of The Finance Act, 2020 (No. 12 of 2020)-Brought into force w.e.f 18.05.2020 vide Notification No. 43/2020-C.T., dated 16-5-2020.
8. Substituted w.e.f. 01.07.2017 for " in such manner " by s.128 of The Finance Act, 2020 (No. 12 of 2020)-Brought into force w.e.f 18.05.2020 vide Notification No. 43/2020-C.T., dated 16-5-2020.
9. Substituted w.e.f. 01.07.2017 for " credit can be reclaimed subject to" by s.128 of The Finance Act, 2020 (No. 12 of 2020)-Brought into force w.e.f 18.05.2020 vide Notification No. 43/2020-C.T., dated 16-5-2020.
10. Substituted by s.28 of the Central Goods and Services Tax (Amendment) Act, 2018 w.e.f 01.07.2017 and shall always be deemed to have been substituted. This amendment, not yet enforced.
11. Omitted w.e.f. 01st July, 2017 by s.28 of The Central Goods and Services Tax (Amendment) Act, 2018 (No. 31 of 2018) - Brought into force w.e.f. 01st February, 2019.
12. Inserted w.e.f. 01st July, 2017 by s.28 of The Central Goods and Services Tax (Amendment) Act, 2018 (No. 31 of 2018) - Brought into force w.e.f. 01st February, 2019.
13. Substituted by section 147 of The Finance Act (No. 2) Act, 2024 No. 15 of 2024 dated 16.08.2024. Brought into force w.e.f. 01st July, 2017.
140(1)Carried-forward return credit
shall be entitled to take, in his electronic credit ledger, the amount of CENVAT credit of eligible dutiesSection 140(1)
The person must not opt for section 10 and must use the preceding-day existing-law return within prescribed requirements. Inadmissible credit, missing six-month returns and the stated exempt-notification goods bar it. The law does not settle the definition applying to "eligible duties" in this limb or whether "appointed date" means "appointed day" for the return bar.
Questions to answer on the file9 questions
140(2)Unavailed capital-goods credit
shall not be allowed to take credit unless the said credit was admissible as CENVAT credit under the existing law and is also admissible as input tax credit under this Act.Section 140(2)
Non-composition persons may take qualifying capital-goods credit not carried in the preceding-day return, as prescribed. Unavailed credit means total existing-law entitlement less credit already taken.
Questions to answer on the file8 questions
140(3)Specified stock holders
shall be entitled to take, in his electronic credit ledger, credit of eligible duties in respect of inputs held in stockSection 140(3)
The listed classes include previously non-liable persons, exempt suppliers, the specified works contractor, dealers, importers and manufacturer depots. Taxable use, credit eligibility, duty evidence issued within twelve months and the no-abatement condition apply. A qualifying person other than a manufacturer or service supplier without duty documents may use the prescribed safeguarded route, including reduced prices to recipients.
Questions to answer on the file14 questions
140(4)(a) and (b)Mixed supplies
shall be entitled to take, in his electronic credit ledgerSection 140(4)(a) and (b)
Formerly mixed taxable and exempt businesses whose supplies are taxable here use sub-section (1) for return credit. They use sub-section (3) for stock relating to the former exempt supplies.
140(5)Later receipt
recorded in the books of account of such person within a period of thirty days from the appointed daySection 140(5)
The supplier must have paid existing-law duty or tax on inputs or input services received on or after the appointed day. The Commissioner may extend by up to thirty days for sufficient cause. A prescribed statement of the credit taken is also required.
Questions to answer on the file10 questions
140(6)Former fixed-rate taxpayers
such invoices or other prescribed documents were issued not earlier than twelve months immediately preceding the appointed day.Section 140(6)
The stock inputs must support taxable supplies and be credit-eligible, with duty evidence. The person must not pay under section 10. Prescribed time and manner govern the entitlement.
Questions to answer on the file8 questions
140(7)Distributor services
Notwithstanding anything to the contrary contained in this ActSection 140(7)
The distributor may distribute credit for services received before the appointed day under prescribed timing and manner. This overrides contrary Act provisions. Invoice receipt may precede, coincide with or follow the appointed day under the stated closing words.
Questions to answer on the file3 questions
140(8)Centralised registration
such credit may be transferred to any of the registered persons having the same Permanent Account NumberSection 140(8)
Credit comes from the preceding-day existing-law return of the centrally registered person and must be admissible here. A return furnished within three months must be original or revised with reduced credit. The law does not settle treatment where that return is furnished later than three months.
Questions to answer on the file8 questions
140(9)Reclaim after payment
credit can be reclaimed, within such time and in such manner as may be prescribedSection 140(9)
The earlier service credit must have been reversed for non-payment within three months. Reclaim requires payment within three months from the appointed day.
Questions to answer on the file3 questions
140(10)Calculation
shall be calculated in such manner as may be prescribed.Section 140(10)
The calculation applies to sub-sections (3), (4) and (6). Their distinct entitlement and document conditions remain applicable.
Questions to answer on the file1 question
140, Explanations 1 and 2Eligible levies
the expression "eligible duties" means- (i) the additional duty of exciseSection 140, Explanations 1 and 2
The lists cover the stated additional excise duty, customs additional duties under section 3(1) and (5), First and Second Schedule excise and National Calamity Contingent Duty. The duties-and-taxes list also includes section 66B service tax. The coverage substitutions printed under footnote 10 remain pending.
140, Explanation 3Cess exclusions
the expression "eligible duties and taxes" excludes any cess which has not been specified in Explanation 1 or Explanation 2Section 140, Explanation 3
The exclusion also reaches cess collected as additional customs duty under section 3(1) of the Customs Tariff Act. It qualifies the eligible-levy lists.
Other questions to answer on the file
Questions a reviewer answers from the engagement file, grouped by the part of the section they come from. They describe what the section asks; they do not decide it.
Scope and what is claimed the section as a whole
Questions to answer on the file4 questions
Credit for a manufacturer or provider of both taxable and exempted supplies 140(4)
Questions to answer on the file4 questions
What the duties making up the credit must be Explanations 1, 2 and 3
Questions to answer on the file3 questions
Frequently asked questions
Can composition persons use the return-balance entitlement?
No. Sub-section (1) expressly excludes persons opting under section 10 and imposes its stated admissibility and return conditions.
Section 140(1)
Can an invoice received after the appointed day support the distributor limb?
The stated sub-section (7) wording covers invoice receipt before, on or after the appointed day for services received earlier. Prescribed time and manner apply.
Section 140(7)
What if the centralised-registration return is filed after three months?
The law does not settle that case. The first proviso states the original-or-reduced-revised condition for a return furnished within three months.
Section 140(8)
Amendment history
The CBIC text carries 14 footnotes. The table gives each in the source's own terms. Effective dates are as the footnotes state them.[1]
| Note | Change | Instrument | Effective from |
|---|---|---|---|
| Enforced the section | — | 1st July, 2017 | |
| 1 | Inserted "of eligible duties" in sub-section (1) | s.28 of The Central Goods and Services Tax (Amendment) Act, 2018 (No. 31 of 2018)[2] | 01.07.2017 |
| 2 | Inserted "within such time and" in sub-sections (1) and (2) | s.128 of The Finance Act, 2020 (No. 12 of 2020)[3] | 01.07.2017 |
| 3 | The source has no footnote 3 and no marker 3 in the text | — | — |
| 4 | Substituted words in sub-section (3) for " goods held in stock on the appointed day subject to " | s.128 of The Finance Act, 2020 (No. 12 of 2020)[3] | 01.07.2017 |
| 5 | Substituted words in sub-section (5) for " existing law " | s.128 of The Finance Act, 2020 (No. 12 of 2020)[3] | 01.07.2017 |
| 6 | Substituted words in sub-section (6) for " goods held in stock on the appointed day, subject to " | s.128 of The Finance Act, 2020 (No. 12 of 2020)[3] | 01.07.2017 |
| 7 | Substituted words in sub-section (7) for " credit under this Act even if " | s.128 of The Finance Act, 2020 (No. 12 of 2020)[3] | 01.07.2017 |
| 8 | Substituted words in sub-section (8) for " in such manner " | s.128 of The Finance Act, 2020 (No. 12 of 2020)[3] | 01.07.2017 |
| 9 | Substituted words in sub-section (9) for " credit can be reclaimed subject to" | s.128 of The Finance Act, 2020 (No. 12 of 2020)[3] | 01.07.2017 |
| 10 | Substituted the sub-sections named in Explanation 1 and in Explanation 2. The source prints the substituted words and records "This amendment, not yet enforced" | s.28 of the Central Goods and Services Tax (Amendment) Act, 2018[2] | 01.07.2017, deemed always to have been substituted |
| 11 | Omitted item (iv) of Explanation 1 and of Explanation 2, preserving only the marker 11[] | s.28 of The Central Goods and Services Tax (Amendment) Act, 2018 (No. 31 of 2018)[2] | 01st July, 2017 |
| 12 | Inserted Explanation 3 | s.28 of The Central Goods and Services Tax (Amendment) Act, 2018 (No. 31 of 2018)[2] | 01st July, 2017 |
| 13 | Substituted the closing words of sub-section (7) | section 147 of The Finance Act (No. 2) Act, 2024 No. 15 of 2024 dated 16.08.2024[4] | 01st July, 2017 |
Relationship with other provisions
| Provision | Connection | Words that tie them |
|---|---|---|
| Section 10 | 140(1) branches on Section 10 | 140(1) "other than a person opting to pay tax under section 10" |
| Section 2 | 140 defined by Section 2 clause (10) | every sub-section counts from "the appointed day", which section 2 defines and this section does not |
| Section 2 | 140 defined by Section 2 clause (48) | 140(1) "furnished by him under the existing law"; "existing law" is defined in section 2 and nowhere in this section |
| Section 142 | 140 defined by Section 142 | the Explanation to the Chapter gives "capital goods", "CENVAT credit", "first stage dealer", "second stage dealer" and "manufacture" their Central Excise meanings for the whole Chapter |
| Section 16 | 140(1)(i) of the proviso requires Section 16 | 140(1) proviso (i) "where the said amount of credit is not admissible as input tax credit under this Act" |
| Section 17 | 140(1)(i) of the proviso requires Section 17 | 140(1) proviso (i) "not admissible as input tax credit under this Act"; section 17 blocks credits section 16 would otherwise allow |
| Section 20 | 140(7) requires Section 20 | 140(7) "shall be eligible for distribution as 7[credit under this Act" |
| Rule 117 of the CGST Rules, 2017 | 140 prescribed by rule 117 of the CGST Rules 2017 | 140(1) "in such manner as may be prescribed"; 140(3) 4["within such time and in such manner as may be prescribed"]; 140(10) "shall be calculated in such manner as may be prescribed" |
| Section 174 | 140 requires Section 174 | the existing laws this section carries credit forward from are repealed by section 174, which saves what arose under them |
Circulars and notifications
Circulars and notifications in the CBIC repository that cite this section, newest first, by number, date and subject. A listing here does not say what an instrument decides; read the instrument.
Circulars (6)
| Number | Date | Subject |
|---|---|---|
| Circular No. 182/14/2022-GST | 10 November 2022 | Guidelines for verifying the Transitional Credit in light of the order of the Hon’ble Supreme Court in the Union of India vs. Filco Trade Centre Pvt. Ltd., SLP(C) No. 32709-32710/2018, order dated 22.07.2022 & 02.09.2022 |
| Circular No. 180/12/2022-GST | 9 September 2022 | Guidelines for filing/revising TRAN-1/TRAN-2 in terms of order dated 22.07.2022 & 02.09.2022 of Hon’ble Supreme Court in the case of Union of India vs. Filco Trade Centre Pvt. Ltd |
| Circular No. 87/06/2019-GST | 2 January 2019 | Seeks to clarify meaning of the term "eligible duties" in section 140(1) of CGST Act, 2017. |
| Circular No. 42/16/2018-GST | 13 April 2018 | clarifying the procedure for recovery of arrears under the existing law and reversal of inadmissible input tax credit. |
| Circular No. 33/07/2018-GST | 23 February 2018 | Directions under Section 168 of the CGST Act regarding non-transition of CENVAT credit under section 140 of CGST Act or non-utilization thereof in certain cases-reg.. |
| Circular No. 7/07/2017-GST | 1 September 2017 | System based reconciliation of information furnished in FORM GSTR-1 and FORM GSTR-2 with FORM GSTR-3B - regarding. |
Notifications (13)
| Number | Date | Subject |
|---|---|---|
| Notification No. 03/2019-Central Tax (Rate) | 29 March 2019 | Seeks to amend notification No. 11/2017- Central Tax (Rate) so as to notify CGST rates of various services as recommended by Goods and Services Tax Council for real estate sector. |
| Notification No. 03/2019-Integrated Tax (Rate) | 29 March 2019 | Seeks to amend notification No. 8/2017- Integrated Tax (Rate) so as to notify IGST rates of various services as recommended by Goods and Services Tax Council for real estate sector. |
| Notification No. 03/2019-Union Territory Tax (Rate) | 29 March 2019 | Seeks to amend notification No. 11/2017- Union Territory Tax (Rate) so as to notify UTGST rates of various services as recommended by Goods and Services Tax Council for real estate sector. |
| Notification No. 34/2017-Central Tax | 15 September 2017 | Seventh amendment to the CGST Rules, 2017. |
| Notification No. 22/2017-Central Tax | 17 August 2017 | Seeks to amend the CGST Rules, 2017 |
| Notification No. 23/2017-Central Tax | 17 August 2017 | Seeks to notify the date and conditions for filing the return in FORM GSTR-3B for the month of July, 2017 amended by a later instrument |
| Notification No. 15/2017-Central Tax | 1 July 2017 | Amending CGST Rules notification 10/2017-CT dt 28.06.2017 |
| Notification No. 05/2017-Union Territory Tax | 30 June 2017 | UTGST (Andaman & Nicobar Islands )Rules, 2017 |
| Notification No. 06/2017-Union Territory Tax | 30 June 2017 | Notifies UTGST (Chandigarh )Rules, 2017 |
| Notification No. 07/2017-Union Territory Tax | 30 June 2017 | Notifies UTGST (Dadra and Nagar Haveli)Rules, 2017 |
| Notification No. 08/2017-Union Territory Tax | 30 June 2017 | Notifies UTGST (Daman & Diu)Rules, 2017 |
| Notification No. 09/2017-Union Territory Tax | 30 June 2017 | Notifies UTGST (Lakshadweep )Rules, 2017 |
| Notification No. 10/2017-Central Tax | 28 June 2017 | Seeks to amend CGST Rules notification no 3/2017-Central Tax dt 19.06.2017 amended by a later instrument |
Unsettled questions
The words of section 140 do not answer these questions. Where one decides a matter on the file, the answer depends on the position taken on it.
- Which Explanation, if any, defines the expression "eligible duties" for sub-section (1)? Footnote 1 inserted those words into sub-section (1) and is in force from 1 February 2019 with effect from 1 July 2017. Explanation 1, which defines the expression, is expressed to apply to the sub-sections that footnote 10 substitutes, and the source records footnote 10 as "not yet enforced" while nevertheless printing the substituted words. The section therefore uses an expression in sub-section (1) that, on the served text read with its own footnote, may have no definition in the section at all.
- Is "the appointed date" in clause (ii) of the proviso to sub-section (1) the same day as "the appointed day"? The Act defines "appointed day" in clause (10) of section 2 and nowhere defines "appointed date"; clause (ii) is the only place in the section that uses the second expression, and the six months of returns the clause requires are counted back from whichever day it means.
- Is the credit under sub-section (8) allowed where the return for the period ending with the day immediately preceding the appointed day was furnished later than three months after the appointed day? The first proviso attaches the original-or-reduced-revised-return condition to a return furnished within three months and says nothing at all about a return furnished later; the sub-section itself imposes no time for furnishing it.
See also
- Section 10 of the CGST Act, 2017: composition levy
- Section 16 of the CGST Act, 2017: eligibility and conditions for taking input tax credit
- Section 17 of the CGST Act, 2017: apportionment of credit and blocked credits
- Section 20 of the CGST Act, 2017: manner of distribution of credit by Input Service Distributor
- Rule 117 of the CGST Rules, 2017: tax or duty credit carried forward under any existing law or on goods held in stock on the appointed day
- Rule 120A of the CGST Rules, 2017: revision of declaration in FORM GST TRAN-1
References
- Central Board of Indirect Taxes and Customs. "Section 140. Transitional arrangements for input tax credit". Central Goods and Services Tax Act, 2017, CBIC tax information portal, with amendment footnotes 1 to 14. Retrieved 17 September 2026.
- The Central Goods and Services Tax (Amendment) Act, 2018. Cited in CBIC footnotes 1, 10, 11 and 12.
- The Finance Act, 2020. Cited in CBIC footnotes 2, 4, 5, 6, 7, 8 and 9.
- The Finance Act (No. 2) Act, 2024. Cited in CBIC footnote 13.
External links
- CGST Act, 2017, Section 140 on the CBIC tax information portal