A Study on Input Tax Credit Utilization Rules and Regulations

Abstract

Introduction of Goods and Services tax (GST) is a very significant step in the field of indirect tax reform in India. Input GST and Output GST are integral part of GST. A purchaser requires to pays Input GST at the time of purchase of Goods or Services and seller requires to collects Output GST at the time selling of goods or services. Before payment of net tax liability Input GST adjusted against Output GST and net balance is require to pay to Government. The term “Input tax credit†means the credit of Input GST. Present paper is mainly based on secondary data and it was found that Input Tax Credit is one of the important parts of GST system