9911796707
TMI BlogProcedure for distribution of input tax credit by Input Service DistributorX X X X Extracts X X X X X X X X Extracts X X X X ..... n input services attributable to a recipient of credit shall be distributed only to that recipient; (d) the credit of tax paid on input services attributable to more than one recipient of credit shall be distributed amongst such recipients to whom the input service is attributable and such distribution shall be pro rata on the basis of the turnover in a State or turnover in a Union territory of such recipient, during the relevant period, to the aggregate of the turnover of all such recipients to whom such input service is attributable and which are operational in the current year, during the said relevant period; (e) the credit of tax paid on input services attributable to all recipients of credit shall be distributed amongst such recip ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... unt of central tax, State tax, Union territory tax and integrated tax shall be distributed separately in accordance with the provisions of clause (d) and (e); (i) the input tax credit on account of integrated tax shall be distributed as input tax credit of integrated tax to every recipient; (j) the input tax credit on account of central tax and State tax or Union territory tax shall- (i) in respect of a recipient located in the same State or Union territory in which the Input Service Distributor is located, be distributed as input tax credit of central tax and State tax or Union territory tax respectively; (ii) in respect of a recipient located in a State or Union territory other than that of the Input Service Distributor, be distri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... shall be- (i) reduced from the amount to be distributed in the month in which the credit note is included in the return in FORM GSTR-6; or (ii) added to the output tax liability of the recipient where the amount so apportioned is in the negative by virtue of the amount of credit under distribution being less than the amount to be adjusted.] 2[(1A) For the distribution of credit in respect of input services, attributable to one or more distinct persons, subject to levy of tax under sub-section (3) or (4) of section 9, a registered person, having the same PAN and State code as an Input Service Distributor, may issue an invoice or, as the case may be, a credit or debit note as per the provisions of sub-rule(1A) of rule 54 to transfer the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ils of such turnover of all the recipients are available, previous to the month during which credit is to be distributed; (ii) the expression "recipient of credit" means the supplier of goods or services or both having the same Permanent Account Number as that of the Input Service Distributor; (iii) the term ''turnover'', in relation to any registered person engaged in the supply of taxable goods as well as goods not taxable under this Act, means the value of turnover, reduced by the amount of any duty or tax levied under entries 84 and 92A of List I of the Seventh Schedule to the Constitution and entries 51 and 54 of List II of the said Schedule.] **************** NOTES:- 1. Substituted vide Notification No. 12/2024 - Central Tax da ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ferred to in section 20, of person R1 during the relevant period, and "T" is the aggregate of the turnover, during the relevant period, of all recipients to whom the input service is attributable in accordance with the provisions of section 20; (e) the input tax credit on account of integrated tax shall be distributed as input tax credit of integrated tax to every recipient; (f) the input tax credit on account of central tax and State tax or Union territory tax shall- (i) in respect of a recipient located in the same State or Union territory in which the Input Service Distributor is located, be distributed as input tax credit of central tax and State tax or Union territory tax respectively; (ii) in respect of a recipient located ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... original invoice was distributed in terms of clause (d), and the amount so apportioned shall be- (i) reduced from the amount to be distributed in the month in which the credit note is included in the return in FORM GSTR-6; or (ii) added to the output tax liability of the recipient where the amount so apportioned is in the negative by virtue of the amount of credit under distribution being less than the amount to be adjusted." 2. Inserted vide Notification No. 12/2024 - Central Tax dated 10-07-2024 w.e.f. 01-04-2025 3. Substituted vide Notification No. 12/2024 - Central Tax dated 10-07-2024 w.e.f. 01-04-2025 before it was read as, "clause (j)" 4. Substituted vide Notification No. 12/2024 - Central Tax dated 10-07-2024 ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
