Availament of ITC when good is sold for 5%

This discussion clarifies whether businesses can claim Input Tax Credit (ITC) when their goods are sold at the standard 5% GST rate. The general answer is yes, ITC is available. However, there are specific services where ITC might not be claimable even with a 5% GST charge under the Full Composition Mechanism (FCM). Eligibility can depend on the nature of your business and your registration scheme.