Input Service Distributor-ISD

[K.lakshmipati rao]

Input Service Distributor [Section 2(61) of CGST Act,2017]- ISD.

Companies having Registered Office/Corporate Head office/Director’s office- [Office] premises shall get registered as ISD in general, as per the provisions ofSection 24(viii) of CGST Act,2017.

Common Services [other than Goods]:- ISD- which receives Tax Invoices towards the receipt of input services, shall bedistributed by ISD to respective branches or Units as per the provisions Section 20 (2) & (3) read with Rule 39.

Query-1: Whereas, If an office of ISD which receives Tax Invoices, (exclusively for its operations as ISD) towards the receipt of input on Goods, like Capital Goods [Computers/Printers/Office Equipment etc.,] and other materials like Stationery/Printing Material items etc., what could be the accounting treatment in the Company books of Accounts, with reference to GST element in the Tax Invoices meant for supply of Goods [being used by ISD].

• Does GST element should be added to the cost of Goods [Capital Goods and/or Other Goods/items] while accounting in the Company books of Accounts, since ineligible.

AI Summary

GST Compliance for Multi-Office Companies: Navigating Input Tax Credit Distribution and Registration Under CGST Act An Input Service Distributor (ISD) discussion forum explores GST compliance for companies with multiple offices. The conversation centers on accounting treatment for goods and services, focusing on input tax credit distribution, registration requirements, and legal nuances under the CGST Act, 2017. Participants analyze scenarios involving tax credit eligibility, invoicing procedures, and regulatory compliance for corporate entities.