https://www.taxtmi.com/article/detailed?id=10513 Rule 89(5) originally limited refund of unutilised input tax credit under inverted duty structure to ITC on input goods by defining Net ITC to exclude input services, causing denial of refunds and an assumption that output tax was discharged only from input goods ITC. After judicial consideration and a GST Council recommendation, CBIC amended Rule 89(5) to apportion reduction for output tax in the ratio of ITC on inputs to total ITC (inputs plus input services), enabling proportionate refunds for taxpayers availing input service credit but still excluding capital goods ITC. en-us Sat, 09 Jul 2022 12:07:01 +0530 Sat, 09 Jul 2022 12:07:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=10513 Rule 89(5) originally limited refund of unutilised input tax credit under inverted duty structure to ITC on input goods by defining Net ITC to exclude input services, causing denial of refunds and an assumption that output tax was discharged only from input goods ITC. After judicial consideration and a GST Council recommendation, CBIC amended Rule 89(5) to apportion reduction for output tax in the ratio of ITC on inputs to total ITC (inputs plus input services), enabling proportionate refunds for taxpayers availing input service credit but still excluding capital goods ITC. Articles Goods and Services Tax - GST Sat, 09 Jul 2022 12:07:01 +0530 https://www.taxtmi.com/article/detailed?id=10513