Input tax credit limitation: where supplier charges higher state tax, excess credit on same-line input services disallowed. A proviso restricts input tax credit where the supplier of an input service in the same line of business charges state tax at a rate higher than that charged by the recipient: the recipient may claim input tax credit only up to the tax amount corresponding to its lower state tax rate on the input service, and any excess tax charged by the input supplier is not admissible. This proviso is inserted into the rate table entries at serial numbers 8 and 10; other textual and annexure deletions and substitutions are also prescribed.
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Provisions expressly mentioned in the judgment/order text.
Input tax credit limitation: where supplier charges higher state tax, excess credit on same-line input services disallowed.
A proviso restricts input tax credit where the supplier of an input service in the same line of business charges state tax at a rate higher than that charged by the recipient: the recipient may claim input tax credit only up to the tax amount corresponding to its lower state tax rate on the input service, and any excess tax charged by the input supplier is not admissible. This proviso is inserted into the rate table entries at serial numbers 8 and 10; other textual and annexure deletions and substitutions are also prescribed.
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