https://www.taxtmi.com/forum/issue?id=114857 Input tax credit must be proportionately reversed where inputs are used for both taxable and exempt (including nil rated) supplies under section 17(2); Rule 42 governs reversal for inputs and input services and Rule 43 for capital goods. Cotton seed oil cake classified as nil rated constitutes an exempt supply, bringing it into the reversal computation. Purchases under reverse charge are included. Unutilized ITC attributable to exempt supplies is not eligible for refund under the cited refund provision; periodic reversal timing affects interest exposure and excess reversal requires return/audit documentation for remedial claims. en-us Sun, 14 Apr 2019 19:52:00 +0530 Thu, 23 Jan 2025 15:55:08 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=114857 Input tax credit must be proportionately reversed where inputs are used for both taxable and exempt (including nil rated) supplies under section 17(2); Rule 42 governs reversal for inputs and input services and Rule 43 for capital goods. Cotton seed oil cake classified as nil rated constitutes an exempt supply, bringing it into the reversal computation. Purchases under reverse charge are included. Unutilized ITC attributable to exempt supplies is not eligible for refund under the cited refund provision; periodic reversal timing affects interest exposure and excess reversal requires return/audit documentation for remedial claims. Discussion-Forum GST Sun, 14 Apr 2019 19:52:00 +0530 https://www.taxtmi.com/forum/issue?id=114857