GTA and other supply

One supplier engaged in coal trading and transportation also opted to rcm on transportation receipts. He purchased 10 truck gst on truck comes to 1cr approx. He uses these trucks for own purpose and also as GTA rcm basis.
can I avail and use itc on trucks partially used for taxable supplies for own coal transportation.
Replies (1)

Yes, you can avail and use ITC (Input Tax Credit) on trucks partially used for taxable supplies for own coal transportation. As per GST rules, ITC can be claimed on goods/services used for both business and personal purposes, but only to the extent they are used for business purposes. Since the trucks are used for both own coal transportation (exempt supply) and GTA services (taxable supply) under RCM (Reverse Charge Mechanism), you can claim ITC on the proportionate use for taxable supplies. Calculate the percentage of use for taxable supplies (GTA services) and claim ITC accordingly. Maintain records to support the calculation and ITC claim. However, please consult a GST expert or chartered accountant to ensure you meet all necessary conditions and comply with GST regulations. Additionally, consider the following: 1. Maintain separate records for business and personal use. 2. Calculate the ITC claim based on the proportionate use for taxable supplies. 3. Ensure you have the necessary documents to support the ITC claim.

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