GST ITC on AMC

[Madhavan iyengar]

A Company has received an Invoice for AMC bill for period January 2018 to December 2018 towards maintenance services. Company has made the entire payment in the month of January 2018

Issue: Can the Company avail the entire GST-ITC as mentioned in the AMC in the month of January 2018.

AI Summary

Input tax credit entitlement depends on receipt of services; invoice claims may need apportionment and year end adjustments.
Entitlement to GST input tax credit for an upfront AMC payment depends on receipt of the services and possession of a tax invoice with tax paid; absent actual receipt strict entitlement is not triggered. Practitioners propose maintaining service logs, claiming credit on invoice receipt for administrative convenience, and performing year end reversals or adjustments to align ITC with actual service receipt.