Input Tax Credit (ITC) is one of the most significant benefits under GST, yet it is also one of the most mismanaged. This article walks through the eligibility conditions, blocked credits, reconciliation requirements, and compliance risks that Indian businesses must navigate carefully.
Key topics covered:
- Conditions for claiming ITC under Section 16
- Blocked credits under Section 17(5)
- GSTR-2B reconciliation best practices
- Common errors that lead to ITC reversal
- Recent GST Council updates affecting ITC