Hi Sir
I want to know some queries:-
Hello Sir
We have exported with 0 rated supply & we have received some exempted income like, Duty Draw Back, MEIS Licences, & SAD refund
our query is
what we will reverse the proportionate input tax credit again exempted income received , Duty drwa back, SAD REFUND , Licences.
Puneet
Clarification on ITC Reversal for Exempted Income from MEIS Licenses Sales per Notification No. 35/2017-Central Tax (Rate). A participant inquired about the reversal of input tax credit (ITC) related to exempted income from exports, such as Duty Drawback, MEIS Licenses, and SAD refunds. Responses clarified that Duty Drawback and SAD refunds are not exempted, as they are refunds of duties already paid. MEIS Licenses sales are exempt from tax, requiring proportionate ITC reversal per Notification No. 35/2017-Central Tax (Rate). However, it was argued that since inputs and services are directly linked to taxable activities, no ITC reversal is needed for MEIS/SEIS scrips, as they are earned without specific expenses. (AI Summary)
TaxTMI 
TaxTMI 
TaxTMI 
