GTA itc claim

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45 Points Joined September 2022
In case of GTA we switch to forward charge in f.y 2025 -26 can i claim itc of 24-25 ( during 24 25 we were is rcm in which recipient pay tax)
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On 29 March 2025 at 12:39 Report
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Master in Accounts & high court Advocate
9456 Points Joined December 2011

To claim Input Tax Credit (ITC) for the financial year 2024-25, you'll need to consider the transition from Reverse Charge Mechanism (RCM) to Forward Charge Mechanism.

Since you were under RCM in FY 2024-25, the recipient paid the tax. In this scenario, *you cannot claim ITC for FY 2024-25* as you were not the one paying the tax.

The recipient who paid the tax under RCM is eligible to claim the ITC.¹

However, for FY 2025-26, since you're switching to Forward Charge Mechanism, *you will be eligible to claim ITC* on the taxes paid.

Ensure you fulfill the necessary conditions for claiming ITC, such as having a valid tax invoice, paying the tax, and filing the returns within the specified time limit.² Keep in mind that the option to switch to Forward Charge Mechanism for FY 2025-26 should have been exercised by March 31, 2025.³

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On 29 March 2025 at 13:10


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