Credit on Capital Goods | GST Transition | GST Migration | GST Plans – Kinja Consultancy

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Credit on Capital Goods

Before GST, only a part of input tax paid on Capital Goods could be taken as credit.

For example, if ITC on a Capital Good purchased in the year 2016-17 is Rs 10,000,

50% i.e. Rs 5,000 can be claimed as ITC in the same year and balance Rs 5000 can be claimed in the next year.

In such cases, there could be some amount of un-utilised credit available on the capital goods. This credit can be carried forwarded to GST by entering the details in Form TRAN 1

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