Import of service under gst

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Querist : Anonymous

Querist : Anonymous (Querist)

14 November 2017 Client has imported accounting software service. Client has GST registration in 27 states. The said service is utilized across all states. Vendor has raised single bill at Maharashtra state. Now here client wants to distribute ITC of GST paid under RCM (In Maharashtra state) across all state. Is it possible? If yes how?

CA Altamush Zafar

CA Altamush Zafar (Expert)
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15 November 2017 Yes i think its possible

RAJA P M

RAJA P M (Expert)
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15 November 2017 No.... The ITC ll be use in Maharashtra branch only...

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Querist : Anonymous

Querist : Anonymous (Querist)

15 November 2017 @CA Altamush Sir,
This problem would solve if vendor raise 27 separate invoices for each state.But here single invoice has been raised.Also claiming whole ITC in Maharashtra would be wrong as service has been utilized by 27 states.Is it possible to transfer this ITC amount somehow to ISD no(Though GST under RCM would be paid by maharashtra state)..?

CA Altamush Zafar

CA Altamush Zafar (Expert)
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15 November 2017 Which state has isd registration?

Querist : Anonymous

Querist : Anonymous (Querist)

15 November 2017 Maharashtra..But unfortunately RCM liability cannot be paid from ISD no...

CA Altamush Zafar

CA Altamush Zafar (Expert)
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15 November 2017 As per law it is no where written tax credits on rcm cannot be distributed but there is no option in gstr 6 for the same, right?

Querist : Anonymous

Querist : Anonymous (Querist)

15 November 2017 Yes..there is no such option in gstr-6.the same can be used only to distribute credit and not for payment of RCM liability.Please suggest some way in which ITC can be distributed across all states.

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CA Altamush Zafar

CA Altamush Zafar (Expert)
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15 November 2017 Please send the query in private chat.