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GST ITC eligibility in travel industry

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pooja Kotak

34 Points Posted on 09 April 2024

Hello

one of our client has business of goods and passengers transport business.

They are paying gst flat @ 5%.

but they have agent commission expenses invoices related to business upon which input GST paid @ 18%.

can we claim Gst ITC of commission??

Replies (5)

Quick Summary

This discussion explores whether a goods and passenger transport business, paying GST at a flat 5%, can claim Input Tax Credit (ITC) on agent commission expenses where GST was paid at 18%. The consensus is that ITC is generally not available when a business opts for a flat GST rate, even if the expenses are business-related. TDS on commission should still be deducted.