GST Input Tax Credit

GST Input Tax Credit by V.S. Datey is the most granular, practice-oriented single-subject treatise available on the Input Tax Credit regime under India's Goods and Services Tax law. Now in its 16^th Edition, this title has been updated annually since the inception of GST and has established itself as the authoritative practitioner reference on a subject that is simultaneously the core economic mechanism of GST—the instrument through which its non-cascading, value-added character is realised—and the single greatest source of compliance disputes, departmental litigation, and blocked cash flow across the Indian business ecosystem.

The book is built on the premise that ITC law cannot be understood or applied through statutory text alone. It integrates the CGST Act, IGST Act, CGST Rules, 2017, CBI&C circulars, departmental clarifications, Advance Ruling Authority decisions, CESTAT precedents, and High Court and Supreme Court judgments into a unified, topic-wise treatment that reflects the operational complexity of ITC compliance as it is actually experienced by practitioners and businesses. Where the law is unsettled or contested, or where advance rulings have produced conflicting outcomes across states, the book identifies those conflicts and offers the author's own calibrated assessment of the defensible position—a dimension that distinguishes it from a bare commentary.

This is an advanced practitioner text, not an introductory guide to GST. The reader is assumed to have working knowledge of GST law and its procedural architecture. Specifically, this book is suited for:

• Tax Professionals and Advisors — Chartered Accountants, Cost Accountants, and Company Secretaries engaged in GST advisory, compliance, audit, and litigation who need authoritative, granular analysis of ITC eligibility, reversal mechanics, blocked credit positions, and refund procedures
• GST Litigators and Advocates — Legal practitioners handling ITC disputes, show cause notices, appeals before the GST Appellate Authority, GST Appellate Tribunal, and High Courts. The book's deep integration of case law—including decisions under the pre-GST CENVAT regime cited where principle remains applicable—makes it directly useful for constructing and defending positions
• Finance and Indirect Tax Heads in Business — Senior executives in manufacturing, trading, export-oriented units, real estate, infrastructure, banking, and services who need to operationalise ITC optimisation strategies, manage GSTR-2B reconciliation, and handle departmental audits
• Exporters and Merchant Exporters — Businesses engaged in zero-rated supply, LUT execution, IGST refund on exports, accumulated ITC refund, and inverted duty structure situations. The book's Chapter 8 (Exports and Imports) and the refund provisions in Chapter 9 are particularly detailed for this audience
• Banks, NBFCs, and Financial Institutions — Entities governed by the special proportionate credit rule under Rule 38 (50% ITC option), which is addressed in a dedicated section covering the procedure for credit claim and the specific calculation methodology applicable to this sector
• Real Estate Developers — The proportionate ITC calculation for residential real estate projects (RREP) versus other real estate projects—including the distinct calculation under Rules 42 and 43 as applicable to incomplete contracts and mixed-use projects—is covered with full clarity on the mandatory reversals and year-end adjustments specific to this sector
• Companies with Multi-State Operations — The mandatory Input Service Distributor framework, operational from 1^st April 2025, requires businesses with branches across states to register as ISDs and distribute common input service credits through a defined mechanism. This book is the most comprehensive current reference for implementing ISD compliance
• Tax Authorities and Quasi-Judicial Officers — Officers adjudicating ITC-related demands, processing refund claims, and deciding show cause notices will find the statutory provisions, rules, and procedural framework assembled at one place