What has to be done for accumulated ITC on exempted supply?
Is required to file any ITC form to block it ?
Replies (20)
Quick Summary
This discussion addresses how to handle accumulated Input Tax Credit (ITC) on exempted supplies. It clarifies that ineligible ITC cannot be claimed. Taxpayers may be able to claim a refund of accumulated ITC by filing form RFD-01 with supporting documents, provided certain conditions under the CGST Act and Rules are met.
The taxpayers can claim the refund of accumulated ITC or input tax credit if certain conditions get satisfied. First, the applicant must file form RFD-01, with the supporting documents, within the time limit given under the Section 54 of the CGST Act read with Rule 89 of the CGST Rules.
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