Vat input credit

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

08 November 2014 We are a manufacturing concern situated in MP state, we have purchased material for Uniform for our staff under Vat.
Can we take vat credit for the same?

Thanks

Damodaran

Damodaran (Expert)
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08 November 2014 T credit can be claimed only for the purchases relating to manufacture, since uniforms provided to Employees cannot be treated as manufacturing usage, hence input cannot be availed, but there is a debatable point if its mandatory as per factory act.