ITC (Input Tax Credit)

In One Line

The GST you've already paid on business purchases, which you can offset against the GST you collect from customers — so you only pay the net difference.

This is the core mechanic that makes Regular GST worthwhile despite the compliance overhead: without ITC, GST on everything you buy for the business is a pure cost. With it, you're only remitting the value you've added. It's also the main thing the Composition Scheme gives up in exchange for simpler filing.