ITC Maximizer — Rules 42 & 43
Common-credit workings, capital-goods schedule and Rule 42 annual reconciliation.
Draft / beta: general-business computation only, not a filing recommendation. Run separately for each GST registration and tax head (IGST, CGST, SGST/UTGST, cess). Excludes real-estate project special rules, banks using Section 17(4), changes in asset use, capital-goods disposal and non-business capital apportionment.
Rule 42 — inputs and input services
Exclusive categories must not overlap. C1 = T − T1 − T2 − T3; C2 = C1 − T4; D1 = (E/F) × C2; D2 = 5% × C2 when non-business use applies. Reversal = D1 + D2. Do not count full capital-goods ITC in these inputs.
Rule 42 annual reconciliation
Enter full-financial-year T/T1/T2/T3/T4/E/F above, then compare the annual result with the sum of monthly Rule 42 reversals. Rule 43 does not use this annual true-up.
Interest and statutory adjustment deadlines require separate professional review. This does not prepare or submit DRC-03.
Batch Rule 42 monthly workings
Template columns: Period, T, T1, T2, T3, T4, E, F, NonBusiness (yes/no). First sheet only; 5 MB / 5,000 rows. Each row is a separate period for one tax head; reports are not a substitute for annual recalculation.
Rule 43 — common capital goods
For assets used for both taxable and exempt business supplies only, with unchanged use and no restriction on ITC. Upload the asset register using the template. Month of invoice is counted as month 1 for this working; exact invoice-date expiry and partial periods require review.
Monthly common credit for each active asset = ITC ÷ 60. Aggregate monthly credit Tr is apportioned by E/F. This reversal is not a deduction of the whole capital-goods credit each month. Reclassification, disposal, interest and special cases are not automated.
Scope and review checklist
Use the statutory definitions and exclusions for E and F, not simply accounting revenue. Confirm blocked credits, exempt turnover, securities/land/building valuation, zero-rated supplies, non-business use and documentary evidence before relying on the calculation. Mixed taxable/exempt activity is different from a “mixed supply” classification under GST.
Files are processed in the browser and not uploaded. Excel parsing uses a third-party library loaded on demand; if blocked, the tool reports an error. Download reports as Excel-compatible CSV; print calculations to PDF.
CBIC current legislation · ITC eligibility checker · ITC reversal guide
