Question17: Please let us know - whether GST paid on Hotel Bills in another state can claim as ITC' We are located in Maharashtra and our Officers are visiting customers located in various States in relation to Business. query -  We are registered dealer in Maharashtra state (27) and have availed Hotel  stay services in Ghaziabad (UP)(09). Hotel has provided Bill with GSTN of both, Maharashtra and UP & charged CGST/SGST.  Can we claim ITC of CGST/SGST. Please advice

Answer: In your case location of service provider and service recipient are in a State other then your State. Both the service provider and recipient being located in the same State, the service provider will charge CGST and SGST. ITC is not entitled as you will need IGST having been paid to avail the ITC. The entire expenditure will be booked as expense in your books of accounts. (Reply dt. 04/12/2017)