Eligibility of ITC, Goods and Services Tax - GST

[THYAGARAJAN KALYANASUNDARAM]

Dear experts,

As per Notification No.02/2022-Central Tax (Rate) dated 31.03.2022 my query as stated below.

1. Can the seller charge and collect 6% from the ultimate customer without availing ITC.

2. Is that ultimate customer eligible to avail the ITC as charged @ 6% by the seller?

Please share your opinion. Thanks in advance.

Posts / Replies

[Rajagopalan Ranganathan]

Sir,

The seller/supplier of the exempted goods (goods mentioned in Col.3 of Notification No. 2/2022 will not be eligible to take credit of gst paid on goods and services used in the goods supplied (mentioned in Col. 3 of the Notification). However, the Notification does not prohibit the recipient of the said goods from availing the gst paid @ 6% on such goods.

[THYAGARAJAN KALYANASUNDARAM]

Thank you so much sir.