proof of receipt of service for availing ITC

[Adarsh Sharma]

As per Section 16(2) of the CGST Act, 2017, the ITC can only be availed after satisfying certain conditions specified therein. One of the condition is 'Receipt of goods or services or both'.

In case of goods, the proof of of receipt may be e-way bill, Invoice, GRN/MRN, physical stock, etc. However in case of services, except the invoice raised by the supplier, what can be the proof of receipt of services so as to comply with the condition of Section 16(2).

AI Summary

Proof of receipt of services for ITC: allotment or sale of constructed units establishes receipt in joint development.
Input tax credit requires receipt of services; proof for services depends on their nature and may include supplier invoices, expert certification, or documentary deliverables. For construction services in a joint development agreement where consideration is transfer of development rights, the allotment, retention, or sale of constructed units allocated to the landowner constitutes proof of receipt of services for claiming input tax credit.