Answer

1. F

   Facts

   IGST credit must be used first, for IGST and then for CGST and SGST. Only after IGST credit is fully used can CGST and SGST credit be used. CGST credit cannot pay SGST and SGST credit cannot pay CGST.

2. P

   Provisions and law

   • Sec 49(5), CGST Act 2017Order of using ITC across heads
   • Rule 88A, CGST Rules 2017Order of using ITC: IGST credit first, then CGST and SGST in any order
3. A

   Analysis

   Example: credit IGST Rs 50,000, CGST Rs 20,000, SGST Rs 20,000; liability IGST Rs 30,000, CGST Rs 25,000, SGST Rs 25,000. IGST credit pays IGST Rs 30,000 and the remaining Rs 20,000 can go to CGST or SGST. Then use CGST and SGST credit. The portal suggests a set-off, but check that it does not leave cash payable on one head while credit lies on another.

4. C

   Conclusion

   1. 1List credit and liability by head
   2. 2Use IGST credit first
   3. 3Use CGST and SGST credit on their own heads
   4. 4Deposit cash only for the balance
   5. 5Review the system set-off before filing

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.