08 June 2018

Restrictions on input tax credit under GST Act

* ITC cannot be used for payment of Interest and late fee under GST.

* ITC cannot be used for payment of demand generated by Assessing Officer under Section 74 and 75 of CGST Act, 2017.

* Payment of tax under Reverse Charge Mechanism.

* Payment of tax under section 10 i.e. Composition Scheme

* CGST credit can’t be used for payment of SGST

* SGST credit can’t be used for payment of CGST.

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