Can anybody elaborately explain me Section 17(5)(h) of CGST ACT
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Section 17(5)(h) CGST ACT
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Section 17(5)(h) reads as under:
[h] goods lost, stolen, destroyed, written off or disposed of by way of gift or free samples;
it means all the ITC on purchases used in above specified goods shall be blocked and ITC can not be taken for the same.
[h] goods lost, stolen, destroyed, written off or disposed of by way of gift or free samples;
it means all the ITC on purchases used in above specified goods shall be blocked and ITC can not be taken for the same.
Section 17(5) is the blocked credit .
17(5)(h) states that if goods lost stolen or destroyed or written off or dispose of by gift or free sample
you cannot claim ITC.
i.e there is no further supply and government is loosing revenue in form of GST.
if ITC is already taken then reverse the same with 18% interest !
if you have paid GST on free supply then no need to reverse ITC
17(5)(h) states that if goods lost stolen or destroyed or written off or dispose of by gift or free sample
you cannot claim ITC.
i.e there is no further supply and government is loosing revenue in form of GST.
if ITC is already taken then reverse the same with 18% interest !
if you have paid GST on free supply then no need to reverse ITC
Dear Sir,
If the goods are lost due to fire, then are we required to reverse the ITC claimed on those goods.
If the goods are lost due to fire, then are we required to reverse the ITC claimed on those goods.
yes u have to .as this destroy material will not be a part of your production
Section 17(5) of CGST Act, 2017 - Blocked Credits under GST. Though the one of the pillars of GST is free flow of credits in order to eliminate cascading of taxes, input tax credit is not available in respect of certain inward supply of goods or services as per Section 17(5) of the CGST Act,2017
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