<p style="text-align:justify"><span style="font-size:14px">There are some special cases of ITC.</span></p>

<ol start="1" style="list-style-type:lower-alpha">
	<li style="text-align:justify"><span style="font-size:14px"><span style="background-color:white"><strong><span style="color:#1e314f">ITC for Capital Goods</span></strong></span></span></li>
</ol>

<p style="text-align:justify"><span style="font-size:14px"><span style="background-color:white"><span style="color:black"><span style="color:black">ITC is available for capital goods</span>&nbsp;under GST.</span></span></span></p>

<p style="text-align:justify"><span style="font-size:14px"><span style="background-color:white"><span style="color:#1e314f">However, ITC is not available for- i. Capital Goods used exclusively for making exempted goods ii. Capital Goods used exclusively for non-business (personal) purposes&nbsp;</span></span><strong><em><span style="color:#1e314f">Note: No ITC will be allowed if depreciation has been claimed on tax component of capital goods.</span></em></strong></span></p>

<ol start="2" style="list-style-type:lower-alpha">
	<li style="text-align:justify"><span style="font-size:14px"><span style="background-color:white"><strong><span style="color:#1e314f">ITC on Job Work</span></strong></span></span></li>
</ol>

<p style="text-align:justify"><span style="font-size:14px"><span style="background-color:white"><span style="color:#1e314f">A principal manufacturer may send goods for further processing to a job worker. For example, a shoe manufacturing company sends half-made shoes (upper part) to job workers who will fit the soles. In such a situation the principal manufacturer will be allowed to take credit of tax paid on the purchase of such goods sent on job work.</span></span></span></p>

<p style="text-align:justify"><span style="font-size:14px">ITC will be allowed when goods are sent to job worker<span style="background-color:white"><span style="color:black">&nbsp;in both the cases:</span></span></span></p>

<ol>
	<li style="text-align:justify">
	<p><span style="font-size:14px"><span style="background-color:white"><span style="color:#1e314f">From principal&rsquo;s place of business</span></span></span></p>
	</li>
	<li style="text-align:justify">
	<p><span style="font-size:14px"><span style="background-color:white"><span style="color:#1e314f">Directly from the place of supply of the supplier of such goods</span></span></span></p>
	</li>
</ol>

<p style="text-align:justify"><span style="font-size:14px"><span style="background-color:#f8f8f8"><em><span style="color:#1e314f">However, to enjoy ITC, the goods sent must be received back by the principal within 1 year (3 years for capital goods).</span></em></span></span></p>

<ol start="3" style="list-style-type:lower-alpha">
	<li style="text-align:justify"><span style="font-size:14px"><span style="background-color:white"><strong><span style="color:#1e314f">ITC Provided by Input Service Distributor (ISD)</span></strong></span></span></li>
</ol>

<p style="text-align:justify"><span style="font-size:14px"><span style="background-color:white"><span style="color:black">An&nbsp;<span style="color:black">input service distributor</span>&nbsp;(ISD) can be the head office (mostly) or a branch office or registered office of the registered person under GST<span style="color:black">. ISD collects the input tax credit</span>&nbsp;on all the purchases made and&nbsp;<span style="color:black">distribute</span>&nbsp;it to all the recipients (branches) under different heads like CGST, SGST/UTGST, IGST or cess.</span></span></span></p>

<ol start="4" style="list-style-type:lower-alpha">
	<li style="text-align:justify"><span style="font-size:14px"><span style="background-color:white"><strong><span style="color:black">ITC on Transfer of Business</span></strong></span></span></li>
</ol>

<p style="text-align:justify"><span style="font-size:14px"><span style="background-color:white"><span style="color:black">This applies in cases of&nbsp;<span style="color:black">amalgamations/mergers/transfer</span>&nbsp;of business. The</span><span style="color:#1e314f"> transferor will have available ITC which will be passed to the transferee at the time of transfer of business<strong>.</strong></span></span></span></p>

<p style="text-align:justify">&nbsp;</p>