co operative society bank gst credit, Goods and Services Tax - GST

[lagudu sivakumar]

Dear Expert,

we have an Society "Godavari Mutually aided co operative society ltd", registered under societs registrations act, engaged in supply of services by way of accepting deposits ,my query is

wether the above society can avail 50% of input tax credit

as per sec 17(4) it is said that a banking company or a financial institution including NBFC , engaged in supply of services by way of accepting deposits , extending loans or advances shall have the option an amount equal to 50% .

Thanking You sir

Posts / Replies

[Amit Agrawal]

Prima-facie, answer to the query raised is 'yes', assuming that said society has requisite permission from competent authority to act like a bank (i.e. take deposits, give loans etc.).

But, I have not understood context of the query or reason for doubt. Heading of the query talks said entity as 'bank' but same is not said so in the query.

These are ex facie views of mine and the same should not be construed as professional advice / suggestion.

[ABHISHEK TRIPATHI]

Yes, you can.

Either u/s. 17(2) or 17(4).

See what fits better for you.

Prima facie, my doubt is whether you will be falling under the term ‘financial institution’. As you are registered under SRA. Maybe you are maybe you are not. If you are then yes go with either 17(2) or 17(4).

As this belongs to a better option between the two, therefore, seek professional assistance.