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Bio Diesel GST Credit

ITC / Input 992 views 2 replies
can transporter claim GST credit on Purchase of Bio Diesel ?
Replies (2)
To check the availability, you should not go with any particular HSN code. What tests we need to apply are given only under section 16 and Section 17 only. So if the ITC is not specifically blocked under section 17(5) and it is used in providing taxable output supply, the input credit will be available. From the information you have given, it appears that a transporter who is providing taxable supply has purchased some input with payment of GST. In such case, if the transporter is not issuing invoices on which GST is payable under RCM, then ITC should be available.
If the transporter has opted to charge gst then he shall be eligible to avail ITC spent on Biodiesel.

Biodiesel is covered under GST.


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