Question ID : 33790

Inter branch GST input tax credit can be utilised?

Dear All, I have been facing this issue that we have an unclaimed ITC available from imports at Delhi branch while all the sale is directed from Bangalore branch so we are not able to claim ITC available in Delhi branch although for future I have already change GST number to Bangalore branch for imports. But I have last 6 months GST credit available. We have all sales from Bangalore branch only. Inter branch GST input tax credit can be utilised? Thanks Abha Sood

Answer ID : 72937

When imports at Delhi and sale at Banglore it means goods either transferred by delhi to banglore or billed to delhi and shipped to banglore. Either case you are required to issue invoice to banglore branch from delhi because delhi branch and banglore branch are two distinct persons. This will transfer your credit lying in delhi to banglore.

Answer ID : 72944

If imports are at Delhi, then the stock would have been retained at Delhi. To this extent, sales should be made from Delhi (of this stock) and credit utilized. If sale (of stock imported into Delhi) is sold from Bangalore. Then this sale is in error and needs to be rectified. There are a few ways of rectifying based on more specific facts.

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