Clarification in respect of utilization of input tax credit under GST.

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..... o. CT/GST-15/2017/355.- Section 49 was amended and Section 49A and Section 49B were inserted vide Assam Goods and Services Tax (Amendment) Act, 2018 [hereinafter referred to as the Assam GST (Amendment) Act]. The amended provisions came into effect from 1st February 2019. 2. Various representations have been received from the trade and industry regarding challenges being faced by taxpayers due to .....

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..... of the provisions of the law, the Commissioner of State tax, Assam, in exercise of its powers conferred by section 168 of the Assam GST Act, hereby clarifies the issues raised as below. 3. The newly inserted Section 49A of the Assam GST Act provides that the input tax credit of Integrated tax has to be utilized completely before input tax credit of Central tax / State tax can be utilized for disc .....

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..... put tax credit on account of Integrated tax is completely exhausted first before the input tax credit on account of Central tax or State / Union territory tax can be utilized. It is clarified that after the insertion of the said rule, the order of utilization of input tax credit will be as per the order (of numerals) given below: Input tax Credit on account of Output liability on account of Inte .....

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..... f output liability on account of Integrated tax Discharge of output liability on account of Central tax Discharge of output liability on account of State tax / Union Territory tax Balance of Input Tax Credit Integrated tax 1000 200 100 0 Input tax Credit on account of Integrated tax has been completely exhausted Central tax 0 100 - 100 State tax / Union territory tax 0 - 200 0 .....

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..... r of utilization as per newly inserted Rule 88A of the Assam GST Rules is implemented on the common portal, taxpayers may continue to utilize their input tax credit as per the functionality available on the common portal. 2. This Circular is clarificatory in nature and not meant for any interpretation of provisions of the Act and rules. 3. Difficulties, if any, in implementation of the above ins .....

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