GST Input Tax Credit Reconciliation
GST input tax credit can be used to make GST payment by persons having GST registration. Automatically track input tax credit received and defaulted by suppliers.
OverviewGST is an indirect tax levied on goods and services based on the principle of value addition. Hence, the levy of tax is based on the value added at each stage of the supply chain till the product or service reaches the ultimate consumer. In such a tax system, to negate the cascading effect of the tax, there exists a means to set of taxes paid on procurement of raw materials, consumables, plant and machinery, equipment, services, etc., that are used for the manufacturing or supply of goods and services. This element used to offset the tax liability is called input tax credit. |
