Input tax credit distribution: pro rata allocation rules, separate tax-type treatment, and documentation requirements under GST. Rule 39 requires an Input Service Distributor to distribute available input tax credit within the same month and report it in FORM GSTR-6, attributing credit only to the recipient(s) to whom input services relate. Where multiple recipients are involved, distribution is pro rata based on each recipient's State/UT turnover for the relevant period to the aggregate turnover of all operational recipients, with a prescribed formula for calculating individual shares. The ISD must separately distribute eligible and ineligible ITC, treat integrated tax as integrated tax to all recipients, and follow specified conversion rules for central and State/UT credits across States/UTs; adjustments from debit/credit notes must be apportioned and recorded in FORM GSTR-6.
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 distribution: pro rata allocation rules, separate tax-type treatment, and documentation requirements under GST.
Rule 39 requires an Input Service Distributor to distribute available input tax credit within the same month and report it in FORM GSTR-6, attributing credit only to the recipient(s) to whom input services relate. Where multiple recipients are involved, distribution is pro rata based on each recipient's State/UT turnover for the relevant period to the aggregate turnover of all operational recipients, with a prescribed formula for calculating individual shares. The ISD must separately distribute eligible and ineligible ITC, treat integrated tax as integrated tax to all recipients, and follow specified conversion rules for central and State/UT credits across States/UTs; adjustments from debit/credit notes must be apportioned and recorded in FORM GSTR-6.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
AI OCR ✕
of 
TaxTMI 
TaxTMI 
