PQ Ltd. a manufacturer of taxable goods provides the following information regarding inward supplies for the month of September, 2018: Sr. No. Items GST Paid (₹) 1. Input A (one invoice on which GST payable was ₹20,000 i

Computation of ITC available to PQ Ltd. for the month of September' 2018 S. No. Inward supplies ITC (₹) 1. Input A: ITC cannot be taken on missing invoice. The registered person should be in possession of invoice to claim ITC [Section 16(2)(a) of CGST Act, 2017] 1,80,000 2. Input B: When inputs are received in installments, ITC can be availed only on receipt of last installment [first proviso to Section 16(2) of CGST Act, 2017] Nil 3. Capital Goods: Input tax paid on capital goods can be availed as ITC if depreciation has not been claimed on such tax component [Section 16(3) of CGST Act, 2017] 20,000 4. Input services: ITC on invoice dated 22/01/2018 received in September 2018 can be claimed since the annual return for the financial year 2017-18 was filed on 25th October, 2018 i.e. after the due date of filing of return of September, 2018 i.e. 20th October, 2018 [Section 16(4) of CGST Act, 2017] 1,50,000 Total 3,50,000