ITC WHEN SOLD AT LOSS

This discussion addresses the Goods and Services Tax (GST) implications when business inventory is sold at a loss. Specifically, it clarifies whether the input tax credit (ITC) on goods that cost more than their selling price can be reversed or if it can be used to offset other output tax liabilities. The consensus suggests that the ITC can generally be utilised for other output tax obligations, differentiating it from scenarios involving capital goods where specific rules apply.