https://www.taxtmi.com/caselaws?id=418792 AAR Rajasthan ruled that a textile manufacturer cannot claim input tax credit on GST charged by medical/health insurance companies for employee insurance. The authority determined that two conditions under Section 17(5)(b) CGST Act 2017 must be satisfied: outward taxable supply should be of same category, and inward supply should be an element of taxable composite or mixed supply. Since the applicant manufactures textile items and insurance services are unrelated to textile supply, neither condition was met, thereby disallowing the ITC claim. en-us Wed, 08 Sep 2021 00:00:00 +0530 Tue, 01 Apr 2025 15:48:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=418792 AAR Rajasthan ruled that a textile manufacturer cannot claim input tax credit on GST charged by medical/health insurance companies for employee insurance. The authority determined that two conditions under Section 17(5)(b) CGST Act 2017 must be satisfied: outward taxable supply should be of same category, and inward supply should be an element of taxable composite or mixed supply. Since the applicant manufactures textile items and insurance services are unrelated to textile supply, neither condition was met, thereby disallowing the ITC claim. Case-Laws GST Wed, 08 Sep 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=418792