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HIGHLIGHTS OF GST
INPUT TAX CREDIT - OTHER ISSUES
UTILISATION
9.32-2
APPENDICES
RELEVANT SECTIONS OF CGST ACT, 2017 401
RELEVANT SECTIONS OF IGST ACT, 2017 416
RELEVANT RULES OF CGST RULES, 2017 419 CLARIFICATIONS REGARDING EXPORTS RELATED REFUND ISSUES 456
REFUND OF IGST PAID ON GOODS EXPORTED 463
RESTRICTIONS ON AVAILMENT OF INPUT TAX CREDIT WHEN FINAL PRODUCT IS EXPORTED 466
REFUND OF IGST ON ITC WHEN GOODS EXPORTED BY POST 470
I-20
RESOLVING DIFFICULTY IN REFUNDS DUE TO INVOICE MISMATCHES 475
PROCEDURE FOR CLAIMING REFUND OF INPUT TAX CREDIT IN CASE OF EXPORTS 476
REVISED PROCEDURE TO CLAIM REFUND OF INPUT TAX CREDIT 481
CONDITIONS AND SAFEGUARDS FOR FURNISHING A LETTER OF UNDERTAKING IN PLACE OF A BOND BY A REGISTERED PERSON WHO INTENDS TO SUPPLY GOODS OR SERVICES FOR EXPORT WITHOUT PAYMENT OF INTEGRATED TAX 490
CLARIFICATIONS ON REFUND RELATED ISSUES UNDER GST 494
CLARIFICATION REGARDING FULLY ELECTRONIC REFUND PROCESS THROUGH FORM GST RFD-01 AND SINGLE DISBURSEMENT 498
CLARIFICATION TO DEAL WITH DIFFERENCE IN INPUT TAX CREDIT (ITC) AVAILED IN FORM GSTR-3B AS COMPARED TO THAT DETAILED IN FORM GSTR-2A FOR FYs 2017-18 AND 2018-19 528
CLARIFICATION ON THE ENTITLEMENT OF INPUT TAX CREDIT WHERE THE PLACE OF SUPPLY IS DETERMINED IN TERMS OF THE PROVISO TO SUB-SECTION (8) OF SECTION 12 OF THE INTEGRATED GOODS AND SERVICES TAX ACT, 2017 532
CLARIFICATION ON CHARGING OF INTEREST UNDER SECTION 50(3) OF THE CGST ACT, 2017, IN CASES OF WRONG AVAILMENT OF IGST CREDIT AND REVERSAL THEREOF 535
CLARIFICATION TO DEAL WITH DIFFERENCE IN INPUT TAX CREDIT (ITC) AVAILED IN FORM GSTR-3B AS COMPARED TO THAT DETAILED IN FORM GSTR-2A FOR THE PERIOD 1-4-2019 TO 31-12-2021 538
CLARIFICATION ON REFUND RELATED ISSUES 542
CLARIFICATION REGARDING TAXABILITY OF SERVICES PROVIDED BY AN OFFICE OF AN ORGANISATION IN ONE STATE TO OFFICE OF THAT ORGANISATION IN ANOTHER STATE, BOTH BEING DISTINCT PERSONS 547
SUBJECT INDEX 551
Input Tax Credit when exempted as well as taxable supplies made
5.1 Proportionate ITC when partly used for business or taxable supplies
Taxable supply -
Non-taxable supply -
Supply of alcoholic liquor is non-taxable supply and hence is exempt supply Karnani
FNB Specialities LLP, In re Karnani FNB Specialities LLP, In re
Zero rated supply -
5.1-1 Calculation of value of ‘exempt supply’
Para 5.1
Exempt supply cannot include activities included in Schedule III of CGST Act, except value of land, buildings and securities
Exempt supply to include value of land, building and securities -
Explanation
Apportionment of ITC between taxable supply and exempt supply on basis of value except in case of real estate services -
Para 5.1
Activities and transactions covered under Schedule III are not ‘exempt supply’ except covered in paragraphs 5 and 8(a) of Schedule III
except (i) the value of activities or transactions specified in paragraph 5 of the said Schedule; and (ii) the value of such activities or transactions as may be prescribed in respect of paragraph 8(a) of the said Schedule
The earlier words were will -
Explanation 3
Value of exempt supply shall include value of supply of goods from Duty Free Shops at arrival terminal w.e.f. 1-10-2023 -
Explanation -
Explanation
Electricity is exempt supply
Interest is not exempt supply for purposes of rules 42 and 43 i.e. no reversal of ITC required
Explanation 1
Explanation
Explanation
Exempt Supply shall not include supply of services to Nepal and Bhutan for purpose of reversal of ITC upto 1-2-2019 exclude
Explanation
Explanation
Exempt supply shall include outward freight from India to outside India for reversal of ITC w.e.f. 1-10-2023 -
Para 5.2 168
- Explanation
Exempt supply shall include
Exempt supply shall not include value of duty credit scrips
Explanation
Kaveri Exports, In re
5.2 Special provisions in respect of Banks, FI and NBFC
proviso
169 Para 5.2
Co-operative society accepting deposits and granting loans is Financial Institution - -
Knanaya Multi Purpose Co-operative Credit Society Ltd.,
5.2-1 Procedure to claim of credit by a banking company or a
5.3 Determination of input tax credit when partly used for taxable supply and partly for exempt supply
Except in case of supply of services covered by clause (b) of paragraph 5 of the Schedule II of the CGST Act
5.3-2 Final calculations of eligible ITC in case of real estate projects where no transition of ITC
5.3-3 Calculation of commercial portion of ITC of real estate project other than RREP
Para 5.4
vide
5.3-4 Final calculations of ITC in real estate projects not required in case of RREP videvide
5.3-5 Assignment of input tax when used for several projects -
5.4 Determination of input tax credit in respect of capital goods used partly for taxable supply and partly for exempt supply
5.4-1 Mode of calculations of ITC of tax paid on common capital goods
Final calculations at year end not required in case of ITC on capital goods, except in case of real estate projects
Separate calculations for IGST, CGST, SGST and UTGST
Meaning of ‘capital goods’ for purpose of this rule -
Explanation
Explanation
5.4-2 Final calculations of eligible credit in case of capital goods in Real Estate projects of residential and commercial apartments
Calculations of credit separately for CGST, SGST, UTGST and IGST -
Assignment of credit if capital goods used for more than one project-
Capital goods having useful life after completion of project
Para 5.5
5.5 Reversal of Input Tax Credit means ITC not taken
Explanation iv
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