https://www.taxtmi.com/forum/issue?id=117313 Denial of input tax credit occurs when a GST-registered proprietor procures security services from a third-party agency and tax is payable under the reverse charge mechanism, preventing claim of credit and creating an unrecoverable tax cost; suggested commercial responses are to act as a facilitator charging GST on margin and treating third-party charges as pure agent reimbursements, or to restructure the business arrangement to mitigate the credit blockage, while acknowledging the statutory blocking provision remains binding. en-us Sat, 26 Jun 2021 09:44:17 +0530 Thu, 23 Jan 2025 15:54:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=117313 Denial of input tax credit occurs when a GST-registered proprietor procures security services from a third-party agency and tax is payable under the reverse charge mechanism, preventing claim of credit and creating an unrecoverable tax cost; suggested commercial responses are to act as a facilitator charging GST on margin and treating third-party charges as pure agent reimbursements, or to restructure the business arrangement to mitigate the credit blockage, while acknowledging the statutory blocking provision remains binding. Discussion-Forum GST Sat, 26 Jun 2021 09:44:17 +0530 https://www.taxtmi.com/forum/issue?id=117313