ADJUSTMENT OF INTERSTATE CAPITAL GOODS ITC

This discussion addresses the complexities of claiming and adjusting Input Tax Credit (ITC) for capital goods purchased interstate under GST. The user is seeking clarification on how to utilise IGST ITC when their outward supplies are entirely intrastate. The response highlights GST rules regarding ITC set-off, explaining that IGST is automatically set off first, followed by CGST and SGST, and detailing how liabilities can be offset against available credit balances.