Cross Utilisation of Eligible ITC for Payment of Output Tax Liability across business verticals under the same GST registration

Cross Utilisation of Eligible ITC for Payment of Output Tax Liability across business verticals under the same GST registration https://www.taxtmi.com/forum/issue?id=120934 Notification No. 11/2017-CT (Rate) restricts only the availment of ITC attributable to restaurant services and does not require restaurant output tax to be paid exclusively through the electronic cash ledger. After reversing ineligible restaurant-related credit under Section 17(2) read with Rules 42 and 43, the remaining eligible ITC in the common Electronic Credit Ledger may be utilised against any output tax liability under Section 49. The law does not require one-to-one correlation between the source of ITC and the outward supply, and this is supported by Dai Ichi Karkaria, Larsen & Toubro Limited, and Aristo Bullion Pvt. Ltd. en-us Thu, 28 May 2026 18:08:09 +0530 Wed, 10 Jun 2026 22:20:37 +0530 TaxTMI RSS Generator Cross Utilisation of Eligible ITC for Payment of Output Tax Liability across business verticals under the same GST registration https://www.taxtmi.com/forum/issue?id=120934 Notification No. 11/2017-CT (Rate) restricts only the availment of ITC attributable to restaurant services and does not require restaurant output tax to be paid exclusively through the electronic cash ledger. After reversing ineligible restaurant-related credit under Section 17(2) read with Rules 42 and 43, the remaining eligible ITC in the common Electronic Credit Ledger may be utilised against any output tax liability under Section 49. The law does not require one-to-one correlation between the source of ITC and the outward supply, and this is supported by Dai Ichi Karkaria, Larsen & Toubro Limited, and Aristo Bullion Pvt. Ltd. Discussion-Forum GST Thu, 28 May 2026 18:08:09 +0530 https://www.taxtmi.com/forum/issue?id=120934