In feb 2018,our goods were damaged by fire of Rs 100000 and kg 1000 and as per rules we reversed the ITC Of Rs.12000 .Insurance claim was received of only Rs 25000 and the damaged goods were sold at low price and gst was paid on same transaction. Whether we can reclaim the credit of Rs 9000 ((75000/100000)*12000).

Reply—There is no provision in GST which enables a taxpayer to reclaim the ITC at the time of receipt of insurance claim which has been reversed on account of loss by fire.

In our opinion, taxpayer is not eligible to reclaim such ITC.