Will itc of gst will proportionately allowed as per our sale
This query is : Resolved
24 May 2018
Dear Professionals, I got a notice from GST department that my taxable sale is very less in compare to Exempted Sales (Exempted Sales - 95% and Taxable Sales - 5%) .
Department mentioned in that you can claim ITC only 5% of Total ITC as my taxable Sales is just 5%.
While my ITC was related to Assets purchased, packing material purchased etc.
Is there any law regarding it?
If it is than how may I utilize my full ITC which I've paid on purchasing assets, packing material and expenditures?
Department mentioned in that you can claim ITC only 5% of Total ITC as my taxable Sales is just 5%.
While my ITC was related to Assets purchased, packing material purchased etc.
Is there any law regarding it?
If it is than how may I utilize my full ITC which I've paid on purchasing assets, packing material and expenditures?
24 May 2018
Dear Amjadji,
As per CGST ACT Sec.17(2)--Restrictions for Input Tax Credit: Where the goods or services or both are used by the registered person partly for
effecting taxable supplies including zero-rated supplies under this Act or under the Integrated
Goods and Services Tax Act and partly for effecting exempt supplies under the said Acts, the
amount of credit shall be restricted to so much of the input tax as is attributable to the said
taxable supplies including zero-rated supplies
you may refer Link:https://www.cbic.gov.in/resources//htdocs-cbec/gst/cgst-act.pdf (Page No.20)
Thanks & regards,
Bhavya.P
As per CGST ACT Sec.17(2)--Restrictions for Input Tax Credit: Where the goods or services or both are used by the registered person partly for
effecting taxable supplies including zero-rated supplies under this Act or under the Integrated
Goods and Services Tax Act and partly for effecting exempt supplies under the said Acts, the
amount of credit shall be restricted to so much of the input tax as is attributable to the said
taxable supplies including zero-rated supplies
you may refer Link:https://www.cbic.gov.in/resources//htdocs-cbec/gst/cgst-act.pdf (Page No.20)
Thanks & regards,
Bhavya.P
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- House Property Reporting in ITR
- Internship/Academic shown in Salary Pay Slip of a Doctor
- TDS Claim year
- Liable to deduct tds and 44ADA
- TDS Challan Code
- Refund of 20%pre-deposit paid for stay application
- Nomination of Bank for refund in itr 2
- Section 56(2) of the Income tax Act 1961 , Gift to relative .
- Relief u/s Section 89
- Rent lease agreement
- Supply through E-commerce Operators
- STCG on ETF gold & silver
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
