One of my friend is running a Restaurant. He has opted for 5% GST without availing ITC. Now, if he pays GST on rent under RCM clause, can he avail the same as ITC, though he is ineligible to avail the ITC on other supplies. Further, is it correct to enter the Rent amount along with GST in Table 3.1 (d) in GSTR 3B return.
20 September 2022
Though the liability is discharged under RCM for rent, same cannot be availed as ITC. Because composition dealers are completely barred from claiming any input tax credit. As rightly pointed out by you, reporting of same in GSTR-3B would be done in Table 3.1(d)
CAclubindia
