{"id":75170,"date":"2026-03-07T08:39:18","date_gmt":"2026-03-07T08:39:18","guid":{"rendered":""},"modified":"2026-03-07T08:39:18","modified_gmt":"2026-03-07T08:39:18","slug":"input-tax-credit-availability-must-trigger-distribution-only-when-legal-entitlement-arises-not-merely-on-invoice-issuance","status":"publish","type":"post","link":"https:\/\/goodsandservicetax.in\/GST\/?p=75170","title":{"rendered":"Input Tax Credit availability must trigger distribution only when legal entitlement arises, not merely on invoice issuance."},"content":{"rendered":"<p>Input Tax Credit availability must trigger distribution only when legal entitlement arises, not merely on invoice issuance.<br \/>Case-Laws<br \/>GST<br \/>Rule 39(1)(a) of the GST Rules survives constitutional challenge when read with the entitlement scheme: the phrase &#8220;input tax credit available for distribution in a month&#8221; must be construed to mean ITC that has become legally available after satisfaction of entitlement conditions in Section 16(2). The Rule does not mandate distribution merely on invoice issuance; distribution is required in the month the recipient becomes entitled to credit. Show cause notices alleging delayed distribution are remitted for fresh adjudication applying this construction; petitioners given two months to file replies where applicable.<br \/> TMI Updates &#8211; Highlights, quick notes, marquee, annotation, news, alerts <\/p>\n<p align=\"center\">=  =  =  =  =  =  =  =<\/p>\n<p align=\"center\"><strong>Plain text (Extract) only<\/strong><BR>For full text:-<a href=\"https:\/\/www.taxtmi.com\/highlights?id=97483\">Visit the Source <\/a><\/p>\n<p align=\"center\">=  =  =  =  =  =  =  =<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Input Tax Credit availability must trigger distribution only when legal entitlement arises, not merely on invoice issuance.Case-LawsGSTRule 39(1)(a) of the GST Rules survives constitutional challenge when read with the entitlement scheme: the phrase &#8220;i&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"close","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-75170","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts\/75170","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=75170"}],"version-history":[{"count":0,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts\/75170\/revisions"}],"wp:attachment":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=75170"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=75170"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=75170"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}