GST Provisional Credit: Auto-Restore#
What is Provisional Credit?#
Auto-populated ITC from supplier's GSTR-1.
Process#
- Supplier files GSTR-1
- Recipient sees in GSTR-2A
- Auto-populated in GSTR-2B
- Claim ITC after verification
Verification Required#
- Supplier filed return
- Tax actually paid
- No mismatch
Auto-Restore Provision#
If supplier doesn't file:
- ITC auto-reversed in GSTR-3B
- Re-claimed after supplier files
Steps to Restore#
- Wait for supplier to file
- File GSTR-3B with reversal
- Re-claim ITC in next month
Conclusion#
Provisional credit helps but requires verification.