GST ITC Set-off Calculator
Enter output tax and available ITC by IGST, CGST and SGST to estimate Rule 88A credit utilization, cash payable and closing ITC balance.
This page focuses only on head-wise ITC utilization. For ITC eligibility, blocked credits, GSTR-2B comparison and broader ITC checks, use the GST ITC Calculator.
How ITC set-off works under Rule 88A
IGST credit is first applied to IGST liability. Any remaining IGST credit can be used against CGST or SGST liability in the selected order. CGST credit is restricted to CGST, and SGST credit is restricted to SGST. This page focuses only on head-wise utilization math.
ITC utilization order table
| Credit head | First use | Then use | Cannot be used for |
|---|---|---|---|
| IGST ITC | IGST liability | CGST or SGST liability | None within GST heads after IGST first |
| CGST ITC | CGST liability | No cross use | SGST liability |
| SGST ITC | SGST liability | No cross use | CGST liability |
ITC set-off example for IGST, CGST and SGST
Inputs
Output tax: IGST 10000, CGST 20000, SGST 20000. ITC: IGST 25000, CGST 5000, SGST 5000. In a CGST-first strategy, IGST ITC first pays IGST 10000. Remaining IGST ITC of 15000 pays CGST.
Result
CGST ITC of 5000 clears the remaining CGST. SGST ITC of 5000 reduces SGST to 15000. Final cash payable is SGST 15000, with no closing ITC balance in this example.
Common mistakes
FAQs
What is an ITC set-off calculator?
It is a head-wise GST credit utilization calculator. It estimates how IGST, CGST and SGST ITC may be used against output tax liability and what remains payable in cash.
What is Rule 88A?
Rule 88A allows IGST credit, after paying IGST liability first, to be used against CGST or SGST liability in any order, subject to the GST set-off rules.
Can IGST ITC be used for CGST and SGST?
Yes. IGST ITC must first be used against IGST liability. Remaining IGST ITC can be used against CGST and SGST liability.
Can CGST ITC be used for SGST?
No. CGST credit cannot be used to pay SGST liability.
Can SGST ITC be used for CGST?
No. SGST credit cannot be used to pay CGST liability.
How is RCM treated in ITC set-off?
RCM liability is usually paid in cash first. Eligible ITC may be claimed after payment subject to conditions, so this tool adds RCM after regular ITC utilization.
What is closing ITC balance?
Closing ITC balance is the unused IGST, CGST and SGST credit left after applying eligible set-off against the entered liabilities.
Should I check GSTR-2B before using ITC?
Yes. Use this only for utilization math. Verify eligible ITC with GSTR-2B, invoices and current law before filing.
Is this a filing-ready calculation?
No. This is an estimate/planning tool. Verify with GSTR-3B workings, GSTR-2B and professional advice before filing.
Safety/source note
This tool estimates head-wise ITC utilization only. It does not validate ITC eligibility, supplier filing, GSTR-2B availability, blocked credits, reversals or final filing treatment. For those broader checks, use the GST ITC Calculator. Verify current GST law and your return workings before filing.