Question 20 - Where goods or services or both received by a taxable person are used for effecting both taxable and non-taxable supplies, whether the input tax credit is available to the registered taxable person?
Input tax credit limited to portion attributable to taxable supplies; eligible credit to be calculated as prescribed by rules. Input tax credit is available to a registered taxable person only for the portion of goods or services attributable to taxable supplies; where inputs serve both taxable and non taxable supplies, only the attributable portion may be claimed and the manner of calculating eligible credit will be provided by rules.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Input tax credit limited to portion attributable to taxable supplies; eligible credit to be calculated as prescribed by rules.
Input tax credit is available to a registered taxable person only for the portion of goods or services attributable to taxable supplies; where inputs serve both taxable and non taxable supplies, only the attributable portion may be claimed and the manner of calculating eligible credit will be provided by rules.
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