Two business in one GST number

[KARAN VERMA]

If I have one business paper mill and other business is Production of film.

Whether I am eligible to utilise ITC availed on raw material used in manufacturing paper in outward liability of films.

AI Summary

Business Owner Can Use ITC from Paper Mill for Film Production, Says Expert; Must Comply with CGST Act Sections 16, 17, 18, 49. A business owner inquired about using Input Tax Credit (ITC) from raw materials for a paper mill to offset tax liabilities for a film production business under a single GST number. An expert responded that under the CGST Act, there is no requirement for a one-to-one correlation between inputs and outputs. ITC can be utilized if it is used or intended for business purposes, as per Section 16(1). Compliance with other conditions in Sections 16, 17, 18, and 49 of the CGST Act is necessary, allowing the use of ITC for any output tax payment.