ISD Credit refund by SEZ

[Madhavan iyengar]

A Company having registered office in Taminadu has received services and the bill from Auditors of Company in respect of all units of the Company in India.

Now Company has also a ISD Regn in Tamilnadu and has distributed the credit to the GST Regd Locations in India which also includes a SEZ GST Regd location at Maharashtra

Query:

Can the ISD credit be claimed by the related to SEZ GST Regd Location in Maharashtra and can the SEZ GST Regd location in Maharashtra claim refund of the ISD Credit.

[Alkesh Jani]

Shri

In my point of view, ITC can be claimed in manner and documents prescribed under Section 16 of CGST Act.

The Refund of ITC can be claimed in terms of Section 54 of CGST Act. Once the credit is taken, although from ISD, it is ITC and it can be utilize or can be claimed as refund as per Section 54.

Thanks

[Ganeshan Kalyani]

I agree with Sri Alkesh Ji, SEZ can claim credit of ISD or claim refund subjec to conditions.

[Bhavika Chothani]

ITC amount whether related to ISD credit recieved or an invoice can be claimed as refund

AI Summary

ISD credit entitlement: SEZ registered units may utilise distributed ITC or seek refund under GST rules.
ISD credit distributed to an SEZ GST-registered unit constitutes Input Tax Credit and may be utilised by that unit if statutory eligibility and documentary requirements under the CGST framework are satisfied; where utilisation is not possible, the SEZ unit may claim refund of the ITC under the CGST refund provisions subject to the prescribed procedural and supporting documentation conditions.