Availment of input tax credit
Commencement. 22nd June, 2017 for sections 1, 2, 3, 4, 5, 10, 22, 23, 24, 25, 26, 27, 28, 29, 30, 139, 146 and 164 1st July, 2017 for sections 6 to 9, 11 to 21, 31 to 41, 42 (except proviso to sub-section (9) of S 42), 43 (except proviso to subsection (9) of S 43), 44 to 50, 53 to 138, 140 to 163, 165 to 174.
Section 41 of the Central Goods and Services Tax Act, 2017 deals with availment of input tax credit. Every registered person shall, subject to such conditions and restrictions as may be prescribed, be entitled to avail the credit of eligible input tax, as self-assessed, in his return and such amount shall be credited to his electronic credit ledger. The Act was enacted on 12 Apr 2017.
1[41. Availment of input tax credit.--- (1) Every registered person shall, subject to such conditions and restrictions as may be prescribed, be entitled to avail the credit of eligible input tax, as self-assessed, in his return and such amount shall be credited to his electronic credit ledger.
(2) The credit of input tax availed by a registered person under sub-section (1) in respect of such supplies of goods or services or both, the tax payable whereon has not been paid by the supplier, shall be reversed along with applicable interest, by the said person in such manner as may be prescribed:
Provided that where the said supplier makes payment of the tax payable in respect of the aforesaid supplies, the said registered person may re-avail the amount of credit reversed by him in such manner as may be prescribed.]
Section 41, The Central Goods and Services Tax Act, 2017 (Act 12 of 2017).
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
Related judgements & precedents
These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.
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Union of India through Its Secretary vs Bharti Airtel LTD
Court's Decision & Legal Precedent
A registered person's primary obligation under the CGST Act, 2017 is to self-assess taxes and input tax credit based on books of accounts and records maintained by him as per statutory requirements, not on auto-generated information from the common electronic portal. The common portal is merely a facilitator. Consequently, non-operability of electronic forms does not excuse a registered person from this self-assessment obligation. Section 39(9) of the CGST Act, 2017 expressly provides that rectification of omission or incorrect particulars in returns can be effected only in the return to be furnished for the month or quarter during which such omission or incorrect particulars are noticed, not in the return for the period to which the error relates. This provision applies with full vigor to Form GSTR3B returns. Therefore, Circular No. 26/26/2017GST dated 29.12.2017 restricting rectification of Form GSTR3B to subsequent months is consistent with the statutory framework and cannot be read down. A registered person cannot unilaterally rectify returns for the relevant period as this would have cascading effects on other stakeholders and create uncertainty in tax administration.
On this section: Provisional credit of ITC; establishes that ITC is credited provisionally to electronic credit ledger based on self-assessment
The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.
Made under this section, and citing it
1 instrument states that it was made under this provision — the power to make it comes from here, so a change to any of them changes what this section requires in practice. Newest first.
Another 1 instrument names this provision in its title or its text without being made under it.
Questions about Section 41
What have the courts held on Section 41 of the Central Goods and Services Tax Act?
Union of India through Its Secretary vs Bharti Airtel LTD (28 Oct 2021) is the leading judgment on this section among those set out below: Provisional credit of ITC; establishes that ITC is credited provisionally to electronic credit ledger based on self-assessment.
How do I find court cases under Section 41 of the Central Goods and Services Tax Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: CGST Act 41, section 41 CGST Act, section 41 of the Central Goods and Services Tax Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 1 reported judgment on this section is set out on this page, beginning with Union of India through Its Secretary vs Bharti Airtel LTD (28 Oct 2021).
What should I read with Section 41 of the Central Goods and Services Tax Act, and has it changed?
3 other provisions in this corpus refer back to it. The rules and notifications made under it are where it actually bites, and there is one: most recently Notification No. 09/2017 – Central Tax dated 28.06.2017 (2017).
When was Section 41 of the Central Goods and Services Tax Act enacted?
Section 41 of the Central Goods and Services Tax Act, cited as CGST Act 41, was enacted on 12 Apr 2017 as Act 12 of 2017. It is in force as at the date shown on this page.
Other sections of this Act
- 2. Definitions5109 words
- 142. Miscellaneous transitional provisions1966 words
- 140. Transitional arrangements for input tax credit1883 words
- 54. Refund of tax1858 words
- 110. President and Members of Appellate Tribunal, their qualification, appointment, conditions of service, etc1647 words
- 74A. Determination of tax not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilised for any reason pertaining to Financial Year 2024-25 onward1299 words
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 15 Oct 2026. This page is not a substitute for legal advice.