How to Avail Input Tax Credit (ITC) – a Practical Guide by ICMAI

The Institute of Cost Accountants of India (ICMAI) published the Practical Guide on How to Avail Input Tax Credit

Index:

1. Introduction
2. Concept of Input Tax Credit
3. Eligibility and Conditions to avail and utilize ITC
4. Blocked Input Tax Credits
5. Availability of Input Tax Credit (ITC) in special circumtances
6. Important Circulars
7. Important Case Laws

In this booklet, the issue of Input Tax Credit (ITC) being availed and utilized by the industry and trade is being addressed. A huge litigation for wrong availment and utilization of ITC is being seen and it needs to be addressed with utter care. ITC involved huge stake of Industry as well as of Government. So, it’s appropriate and effective availment and utilization is important. Provisions under the laws need to be understood in true spirit. Wrong availment and utilization of ITC leads to unnecessary litigation and misutilization of national resources. On the other side non availment of ITC increases working capital cost and also increase the cost of Goods and Services which impact the pocket of consumers straightway. Availment and utilization of ITC needs critical analysis and when one is confident and clear about the provisions of the law, only than ITC should be availed and utilized otherwise it has huge cost in form of Interest and Penalties.