IGST order of Utilization

Hi Sir or Madam

Good evening

We have IGST ITC every month

we don't have IGST liability

We use IGST ITC towards CGST liability and SGST liability

Is there any restrictions in using IGST ITC first towards CGST and Later SGST

or Can I use IGST ITC in any manner in any proportion towards discharge of CGST and SGST liability

Please advise

Thanks
Replies (7)
Quick Summary
This discussion explores the correct order for utilising Input Tax Credit (ITC) from Integrated Goods and Services Tax (IGST). The core question is whether IGST ITC can be used freely against Central GST (CGST) and State GST (SGST) liabilities, or if there's a specific sequence. While some suggest flexibility, the prevailing view is that IGST ITC must first be used to offset IGST liability, then CGST, and finally SGST.

You can use it in any proportion.
No, Any proportion is not acceptable...

IGST ITC will be utilize like order of IGST, CGST and then SGST...
Since there is a facility to transfer the electronic ledger balance from one head to another head , the query not relevant practically
Cash Ledger balances only can transfer any other heads...
@ Raja PM sir
could you please let me know any relevant circular
Thanks
Please go through the link.
You can get some clarity about the utilization of ITC....


https://cleartax.in/s/gst-input-tax-credit-utilisation
You can first utilize with the present scenario.

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