Input Tax Credit (ITC) lets you offset the GST you pay on purchases against the GST you collect on sales. Four conditions must all be met:
- You hold a valid tax invoice or debit note.
- You have received the goods or services.
- The supplier has actually paid the tax and reported the invoice (visible in GSTR-2B).
- You have filed your GSTR-3B.
If you don't pay your supplier within 180 days of the invoice date, the credit is reversed with interest until you pay.
This is general information, not professional advice — confirm the current position for your specific case before acting.
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