Calculate common Input Tax Credit reversal for inputs and input services under Rule 42 and capital goods under Rule 43, with a clear working and GSTR-3B summary.
Rule 42 — Inputs & Input Services
Classify specifically eligible and ineligible ITC first. The balance becomes common credit and is apportioned.
C2 = C1 − T4
D1 = (E ÷ F) × C2
D2 = 5% × C2 (where applicable)
C3 = C2 − (D1 + D2)
Rule 43 — Common Capital Goods
Enter each common capital good and the ITC amount “A” to be apportioned over the 60-month useful-life framework.
| Capital Good | Common ITC “A” | Months Elapsed | Monthly Tm |
|---|
Tr = Sum of Tm for active common capital goods
Te = (E ÷ F) × Tr
Rule 42 — Annual True-up Working
Compute the annual Rule 42 amount and compare it with the Rule 42 common-credit reversals already made during the year.
GSTR-3B Working Summary
Combined Rule 42 and Rule 43 results calculated in this browser session.
How to Use This Calculator
FAQs
What is the difference between Rule 42 and Rule 43?
Rule 42 deals with common ITC on inputs and input services. Rule 43 deals with common capital goods.
Is D2 always 5% of C2?
The 5% computation applies where common inputs/input services are used partly for business and partly for non-business purposes. The calculator therefore provides a checkbox instead of forcing D2 in every case.
Where are Rule 42/43 reversals reported in GSTR-3B?
Table 4(B)(1) is labelled for reversals under Rules 38, 42 and 43 and section 17(5). Filing must be split under the relevant tax heads.
Does the tool handle every capital-goods transition?
No. If capital goods move from exclusive taxable or exempt/non-business use to common use, first determine the adjusted amount “A” as required by Rule 43 and enter that amount in this tool.
