What Is Input Tax Credit Under GST?
Input Tax Credit (ITC) is the credit of eligible GST paid on business inputs that a registered person can claim subject to the conditions and restrictions under GST law.
Quick Answer
Input Tax Credit (ITC) is the credit of eligible GST paid on business inputs that a registered person can claim subject to the conditions and restrictions under GST law.
Input Tax Credit (ITC) allows an eligible registered person to claim credit for GST paid on qualifying business inputs, subject to statutory conditions, documentation and restrictions.
Practical GST Workflow
- Maintain complete sales and purchase records.
- Reconcile return data with books and source documents.
- Review exceptions such as credit notes, amendments and ITC restrictions.
- File the applicable GST return and retain supporting records.
