https://www.taxtmi.com/article/detailed?id=13616 Choice of GST rate governs ITC entitlement and pricing for rent-a-cab providers: the lower-rate option restricts ITC to same-line vendors charging that rate and disallows ITC on other inputs and capital goods, while the higher-rate option permits full ITC on inputs, input services and capital goods but can raise customer-facing prices. Differential pricing can incentivize customers to accept the higher-rate billing to enable ITC recovery. Aggregator-supplied services remove operator choice because the aggregator pays the lower rate, preventing operators from utilising certain ITC and affecting profitability. en-us Fri, 21 Feb 2025 09:02:15 +0530 Fri, 21 Feb 2025 09:02:15 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=13616 Choice of GST rate governs ITC entitlement and pricing for rent-a-cab providers: the lower-rate option restricts ITC to same-line vendors charging that rate and disallows ITC on other inputs and capital goods, while the higher-rate option permits full ITC on inputs, input services and capital goods but can raise customer-facing prices. Differential pricing can incentivize customers to accept the higher-rate billing to enable ITC recovery. Aggregator-supplied services remove operator choice because the aggregator pays the lower rate, preventing operators from utilising certain ITC and affecting profitability. Articles Goods and Services Tax - GST Fri, 21 Feb 2025 09:02:15 +0530 https://www.taxtmi.com/article/detailed?id=13616