ITC earned on inputs meant for outward supply of Bullions cannot be used for paying GST liability on Castor Oil Seed

ITC earned on inputs meant for outward supply of Bullions cannot be used for paying GST liability on Castor Oil Seed

GUJARAT AUTHORITY FOR ADVANCE RULING

The Question and Ruling as follows : Question : Can the applicant use Input Tax Credit Balance available in the Electronic Credit Ledger legimately earned on the inputs/raw-materials/inward supplies(meant for outward supply of Bullions) towards the GST liability on ‘Castor Oil Seed’ which were procured from Agriculturists and subsequently meant for onward supply? Answer : The applicant cannot use the Input Tax Credit Balance available in the Electronic Credit Ledger legimately earned on the inputs/raw-materials/inward supplies(meant for outward supply of Bullions) towards the GST liability on ‘Castor Oil Seed’ which were procured from Agriculturists and subsequently meant for onward supply, for the reasons discussed hereinabove.