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of <h1>West Bengal Amends Tax Notification: Limits Input Tax Credit on Transport Services to 2.5%, Effective October 20, 2023.</h1> The Government of West Bengal has issued Notification No. 2150-F.T., amending Notification No. 1135-F.T. dated 28.06.2017, concerning the rates of taxable services. The amendment restricts the input tax credit (ITC) on passenger transportation services and motor vehicle rentals to 2.5%. If a supplier charges a state tax rate higher than 2.5% in the same line of business, the ITC will be limited to the tax paid at 2.5%. Additionally, certain entries in the service classification scheme have been omitted. This amendment is effective from October 20, 2023.
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