ITC on IGST on Project Import

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This query is : Resolved

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This discussion addresses the eligibility of Input Tax Credit (ITC) on IGST paid for project imports under an offshore supply contract. It also queries whether this ITC can be used to offset CGST/SGST liabilities on a separate civil contract with the same firm. The consensus suggests that ITC is eligible and can be utilised after settling any outstanding IGST dues.

Sanjeev

Sanjeev (Querist)
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02 January 2025 Sir
One psu entered into two contacts first is off shore supply contract (pure supply contract) and import mandatory spare from foreign and contractor/company paid custom duty under project import with igst.
further company was entered into second separate contract civil contract with same firm.

Query-
(1) Can contactor eligible for itc of igst on project import under off shore supply contract?
(2) If eligible, can contract used this itc in second civil contract for payment of cgst/sgst?

Regards