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hard20 pts · first answer countsgstinput-tax-credit

Reversing common credit for exempt supplies

A business makes both taxable and exempt supplies. Common input tax credit for the period is ₹1,00,000. Exempt turnover is ₹2,00,000 out of total turnover of ₹10,00,000. Using the proportionate method, how much common credit must be reversed?

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