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GTA foroward charge

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Anshuman Basu

account -GST

1560 Points Posted on 15 March 2020

we are going to start GTA business from 1/4/2020. we decided to Bill our clients foroward basic 12% tax. we will purchase few of truck for our business purpose.
we expect trucks will purchase April 20 but bill to out clients will start from May or June 20.

now questions is can I claim ITC on purchase of truck in April 20 Return? We expect output sell will be nil for the month of April 20 . I want to know can I take ITC even there will no out put tax or before sell bill start

Replies (2)

Quick Summary

This discussion addresses whether a new GTA business, starting operations in April 2020, can claim Input Tax Credit (ITC) on truck purchases made in April, even if client billing and output tax collection begin later in May or June. The consensus is that ITC can generally be claimed, provided the business is properly set up and ready to commence operations.