Distribution of ITC

After eligible ITC is claimed, distribute it from the ISD GSTIN to the recipient GSTINs. Octa uses the recipient turnover and any invoice-level Distribution List provided in the purchase register to calculate the distribution.

Before starting distribution, confirm that:

• Recipient GSTINs and turnover details are updated.
• GSTR-6A data has been fetched for the period.
• Purchase register data has been imported and reconciled.
• The ITC intended for distribution has been claimed.

#Auto Distribution

1. Go to the Distribution tab.
2. Click Auto.
3. Select the month for which ITC should be distributed.
4. Choose the invoice series.
5. Enter the prefix and suffix for ISD Invoices.
6. Enter the prefix and suffix for ISD Credit Notes.
7. Click Continue.

Octa will create the distribution entries based on the available claimed ITC and recipient ratio.

#Review Before Filing

After auto distribution, review the generated ISD invoices and credit notes. Check that:

• ITC is distributed to the correct recipient GSTINs.
• Eligible and ineligible ITC are shown correctly.
• Credit notes are distributed separately.
• The total distributed value matches the ITC selected for distribution.