As per Explanation1 to Rule 43 value of exempt supplies shall not include value of Supply of Duty Credit Scrips, therefore, no ITC reversal is required on account of this under Rule 42 and Rule 43
[ 13[ Explanation 1]:-For the purposes of rule 42 and this rule, it is hereby clarified that the aggregate value of exempt supplies shall exclude: -
(a) 14[****]
(b) the value of services by way of accepting deposits, extending loans or advances in so far as the consideration is represented by way of interest or discount, except in case of a banking company or a financial institution including a non-banking financial company, engaged in supplying services by way of accepting deposits, extending loans or advances; and
(c) the value of supply of services by way of transportation of goods by a vessel from the customs station of clearance in India to a place outside India.]
15[(d) the value of supply of Duty Credit Scrips specified in the notification of the Government of India, Ministry of Finance, Department of Revenue 35/2017-CGST (rates) dated the 13th October, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number GSR 1284(E), dated the 13th October, 2017.]
15. Inserted vide NN- 14/2022-CEdated. 05.07.2022