मराठी
Maharashtra State BoardSSC (English Medium) 10th Standard

Input Tax Credit (ITC) in Mathematics

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Topics

  • Introduction
  • Definition: Input Tax Credit
  • Formula: GST Payable = Output GST − ITC
  • Conditions to claim and Utilization of ITC
  • Definition: E-Ledgers
  • GST Returns
  • Examples
Maharashtra State Board: Class 10
CISCE: Class 10

Definition: Input Tax Credit (ITC)

Input tax credit means that while paying tax to the government on sale (output) of goods and services, you can avail the tax you have already paid on the purchase (input) of the said goods/services and pay only the balance amount as tax. 

Maharashtra State Board: Class 10
CISCE: Class 10

Formula: GST Payable

GST Payable = Output GST − Input GST (ITC)

CISCE: Class 10

Key Points: Input Tax Credit (ITC)

Only a registered dealer can claim ITC; consumers and composition dealers cannot.

GST Returns: GST Returns are periodic details filed by a registered dealer showing sales, purchases, ITC and tax paid.

  • GSTR-1 → Sales
  • GSTR-3B → Summary return & final tax payment
  • GSTR-4 → Composition dealer

E-Ledger: An e-ledger is an electronic record on the GST portal for a registered dealer.

  • Cash Ledger → cash paid
  • Credit Ledger → ITC
  • Liability Register → tax due
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