In most cases, yes. A video conferencing subscription used in the course of business is generally an input service, so a GST-registered business may be able to claim input tax credit on the GST charged. Eligibility depends on the facts and the required tax records.
Why the question matters
Software pages often say “plus GST” and stop there. For a finance team, whether that GST is recoverable changes the effective cost. On a larger deployment, it can materially affect the procurement decision.
What needs to be true
- A valid tax invoice: It should carry the supplier’s GSTIN and your GSTIN, rather than being only a receipt or card statement.
- Supplier reporting: Credit is matched against the supplier’s filings, including the records available to the recipient.
- Business use: The subscription must be used in the course or furtherance of business.
- No blocked credit: Confirm that the purchase does not fall within a restricted category for your circumstances.
The CBIC’s guidance on Section 16 conditions discusses the need for a supplier-issued tax invoice when input tax credit is claimed.
Where foreign vendors complicate things
Some global software providers bill Indian customers from a foreign entity in US dollars. In that case, an Indian tax invoice with a GSTIN may not be available, and the ITC route can be more complicated. This is one reason businesses ask whether a vendor or authorised local partner can issue a GST-compliant invoice before buying.
How AONMeetings handles it
AONMeetings India subscriptions are invoiced with a GSTIN. GST-registered businesses can claim input tax credit on the subscription when eligible, whether they buy directly or through an authorised AONMeetings partner. Pricing is quoted in Indian rupees, exclusive of GST, with GST applied at checkout. Plans start at ₹179 per user per month. Review the pricing and GST details before choosing a plan.
Questions to ask any vendor
- Will I receive an Indian tax invoice with your GSTIN?
- Is the invoice issued by you or by a reseller?
- Is pricing quoted in INR or converted at checkout?
- Is a GST invoice available on every plan?
Frequently asked questions
Can a small business claim input tax credit on software?
A GST-registered business can generally claim ITC on business software subscriptions when it holds a valid tax invoice and the supplier has reported the supply. Confirm your specific position with a qualified adviser.
Do I need a reseller to get a GST invoice?
That depends on the vendor. Ask before you buy, because it affects both the paperwork and the effective cost.
Does GST make foreign software more expensive?
Not by itself if the credit is recoverable. The key question is whether you receive the documentation needed to claim it.
This article is general information, not tax advice. GST rules and eligibility depend on your circumstances. Confirm your position with a qualified chartered accountant before relying on it.