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I. T. C in Textile

HOSHANG (ADVOCATE) (100 Points)

20 December 2017

Dear experts,
I am a job worker In Textiles Industry
Liable to charge 5% GST on supply

I am paying 12% & 18% to my inwards.

Should I claim full I. T. C.?
IF NO, THEN ADVICE ME PLEASE

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4 Replies

Rohit Kumar Singh (Founder - TaxMarvel Consulting Services LLP) (9467 Points)
Replied 20 December 2017

yes claim full ITC

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HOSHANG (ADVOCATE) (100 Points)
Replied 20 December 2017

Thank you

Priyant Dhrangdhariya (11 Points)
Replied 20 December 2017

section 54(3)(ii)

[ii] where the credit has accumulated on account of rate of tax on inputs being higher than the rate of tax on output supplies [other than nil rated or fully exempt supplies], except supplies of goods or services or both as may be notified by the Government on the recommendations of the Council:

IT MEANS YOU CAN GET REFUND IF YOU PURCHASE AT HIGHER RATE AND SELL AT LOWER RATE YOU CAN GET REFUND OF INPUT

NOTE- IF YOU FULLY UTILIZE INPUT BY SELLING IN INDIA NOT OUTSIDE INDIA

IF YES THAN ANSWER WILL BE DIFFERENT

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