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 ..... (a) the input tax credit available for distribution in a month shall be distributed in the same month and the details thereof shall be furnished in FORM GSTR-6 in accordance with the provisions of Chapter ---- (Return Rules); (b) the Input Service Distributor shall, in accordance with the provisions of clause (d), separately distribute the amount of ineligible input tax credit (ineligible un ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... C 1 = (t 1 T) C where, C is the amount of credit to be distributed, t 1 is the turnover, as referred 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 credi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt in accordance with clause (d); (g) The Input Service Distributor shall issue an ISD invoice, as prescribed in sub-rule (1) of rule invoice-7, clearly indicating in such invoice that it is issued only for distribution of input tax credit. (h) The Input Service Distributor shall issue an ISD credit note, as prescribed in subrule (1) of rule Invoice-7, for reduction of credit in case the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in terms of clause (d) above, 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 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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