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Trading Sale

Gaurav Soni (Accountant executive) (43 Points)

19 December 2020

Dear All,

My queries - Purchase value more than sales value.
1) ITC can availed in one time?
2) ITC can availed proportionally?

so please brief descripttion section wise.

please immediately as same

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6 Replies

Sanket Galande (CA-Inter) (126 Points)
Replied 19 December 2020

You can avail all itc one time, subject to invoices reflecting in 2b

Gaurav Soni (Accountant executive) (43 Points)
Replied 19 December 2020

Which section is cover plz reply

CA Saloni (Manager-Accounts & GST Consultant) (5124 Points)
Replied 19 December 2020

Refer to Section 16 of CGST Act for ITC

1 Like

NANDAN ND (20 Points)
Replied 19 December 2020

Seems like your product is covered under Inverted Tax structure and for the same you can get a Refund

1 Like

APURBA CHATTERJEE (QUALIFIED CHARTERED ACCOUNTANT) (602 Points)
Replied 19 December 2020

If you have invoice then you can avail ITC at one go.

Shivam RC (Student) (23683 Points)
Replied 20 December 2020

As per the Provision of Section 16(2) of the CGST Act 2017, Input Tax Credit ( ITC ) can be claimed if the following FOUR CONDITIONS are satisfied :

(1). Possession of a Tax Invoice
(2). Received the Goods or Services or both
(3). Supplier must have paid the taxes to the Government exchequer and
(4). Recipient must have filed the Return.

So if you have satisfied all the above mentioned four conditions of claiming ITC, then you can claim the full ITC in one go. Also crosscheck that the Invoices are being reflected in FORM GSTR-2B.