We as a company are availing car hire charges from Individual. Before October 19 service provider discharged GST under forward charge @ 2.5 per. and we were availing ITC credit. can I have a GST circular or notification for this??
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Quick Summary
This discussion addresses the eligibility of Input Tax Credit (ITC) for rent-a-cab services in India. Generally, ITC on car hiring is blocked under Section 17(5) of the GST law, unless it's a legal obligation for an employer to provide such services to employees. The consensus is that manufacturing companies cannot claim ITC on these services.