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<h1>Input tax credit distribution extended to inter State reverse charge supplies, clarifying ISD entitlement and allocation rules.</h1> The Bill amends section 20 to expressly permit distribution of input tax credit by the Input Service Distributor in respect of inter State supplies on which tax is payable under the reverse charge mechanism by inserting references to sub section (3) and sub section (4) of section 5 of the Integrated Goods and Services Tax Act into sub sections (1) and (2) of section 20; the amendment takes effect from the stated commencement date.
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