Input Tax Credit

No Reversal of ITC on Inputs lost in Manufacturing Process
Input Tax Credit
CA. Sachin Jindal

No Reversal of ITC on Inputs lost in Manufacturing Process

ITC should be granted on the original amount of input used notwithstanding that the entire amount of input would not figure in the finished product. Therefore, Hon’ble High Court held that loss due to inherent nature of manufacturing process is not covered under Section 17(5)(h) of CGST Act, 2017 and impugned order is liable to be set aside.

Read More »
ITC On Promotional Items Under GST
Input Tax Credit
CA. Sachin Jindal

No ITC available on Promotional Items on FOC basis under GST supplied to distributors/retailers

The applicant was engaged in manufacturing activity and was selling these products through Franchisees (Carrying applicant’s brand only) and distributors/Retailers (Carrying other brands too) .  For the purpose of brand promotion, the applicant was procuring promotional items such as Carrying bag (with name of Applicant printed on it), calendes, writing pads, display boards, outdoor hoardings, uniform for employees etc. and was supplying such products to its franchisees and distributors without any cost.  The Applicant approached Hon’ble AAR to determine whether promotional items procured by the applicant are “Inputs” under CGST Act and whether he is entitled to claim ITC on

Read More »
Categories



Want to talk to us

Leave your Name, email, Phone number along with what you are looking for in message box or you can call us at 011-41715118

V J M & Associates LLP

Contact Us

X