 |
|
|
|
| R.26 Computation of admissible amount of input tax credit for a tax period u.p.vat rules | |
|
R.26 Computation of admissible amount of input tax credit for a tax period-
(1) For the purpose of tax return of any tax period, amount of input tax credit earned by the dealer for such tax period, shall be obtained by deducting aggregate of all amounts of reverse input tax credit computed for the tax period from aggregate of amounts of credit of input tax computed for the same tax period.
(2) Amount of input tax credit that can be claimed by a dealer in tax return of any tax period shall be computed using the expression:
ITC earned + ITC carried forward + ITC installment due
Where expression-
(a) “ITC earned” represents aggregate of input tax net of aggregate of amounts of reverse input tax credit for the tax period;
(b) “ITC carried forward” represents the amount of input tax credit carried forward from the tax return of the tax period preceding such tax period; and
(c) “ITC installment due” represents the aggregate of amounts of installments, if any, of input tax in respect of capital goods and in respect of goods held in opening stock on the date on which dealer has become liable for payment of tax.
|
|
|