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Input tax credit urgent answer

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shaik khadar

26 Points Posted on 05 November 2020

i hava a client who is importing papers and they will process and make them as text book and export

here the point is while importing they were paying gst and while expirting the goods were exempted. how can we claim the itc is it possible to claim

import hs code - 4802
export hs code - 4901

Replies (2)

Quick Summary

This discussion addresses how to claim Input Tax Credit (ITC) for a client importing paper, processing it into textbooks, and then exporting them. While imports incur GST, the exports are exempt. The advice clarifies that exempt exports fall under zero-rated supplies according to Section 16 of the IGST Act. Input tax credits can be adjusted against taxable outward supplies or claimed as a refund, subject to specific conditions.

chethan data

298 Points Posted on 05 November 2020

Hi sir if export exempted goods it's falling under zero rated supply under sec 16 igst act
who's export of taxable or exempt of goods cover zero rated hence if u have any taxable outward supply u can adjust input which having credit ledger otherwise u can claim refund subject to conditions