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of <h1>Electronic Commerce Operators Can Now Claim Full Input Tax Credit for Specified Services Under Section 9(5)</h1> Karnataka's tax authority issued a circular clarifying input tax credit (ITC) rules for electronic commerce operators (ECOs) supplying services under Section 9(5) of the Karnataka Goods and Services Tax Act. ECOs are not required to reverse proportionate input tax credit on inputs and input services for specified services. They must pay the full tax liability through electronic cash ledger and cannot use ITC for tax discharge under Section 9(5), but can utilize credit for their own service supplies.
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