What is GST Input Tax Credit?

ITC allows you to reduce GST collected from customers by GST paid on purchases. This avoids double taxation.

Conditions for Claiming ITC

  • Valid tax invoice or debit note
  • Goods or services used for business
  • Supplier must have filed GSTR-1 and paid GST
  • Invoice must appear in GSTR-2B
  • Claim before November 30 of next year

Blocked Credits -- ITC Cannot Be Claimed On

  • Motor vehicles (except resale, transport, driving school)
  • Food and beverages, outdoor catering
  • Club membership, health centre
  • Works contract for immovable property
  • Personal use items

How to Reconcile ITC with GSTR-2B

  1. Download GSTR-2B from GST portal
  2. Match each invoice with your purchase register
  3. Follow up with suppliers for missing invoices
  4. Claim only matched ITC in GSTR-3B

MyCamate handles GST returns and ITC reconciliation for businesses