GST Council panel approves ITC protection for buyers
pre-market1 source ↓written by the desknot a recommendation
The GST Council’s Law Committee has approved a proposal to protect the input tax credit (ITC) for bona fide buyers even if suppliers default on GST payments. This significant policy shift aims to ensure that genuine purchasers are not penalized for suppliers' tax defaults, pending final approval from the GST Council.
Key Points:
• ITC remains protected if the supplier reports the invoice in GST returns.
• Proposal reflects a major shift in the GST regime, enhancing buyer confidence.
Not investment advice. For informational purposes only.