dear advisors
we newly purchased a car for company purpose,
can we avail gst input on insurance.
As per section 17(5) of CGST Act, ITC shall not be available in respect of Motor vehicle and other conveyance, except
(a) For making following taxable supplies
1) further supply of such vehicle or conveyance OR
2) Transportation of passengers OR
3) imparting training driving, flying, navigating such vehicle or conveyance
(b) For transportation of goods.
As you have purchased a new car for company purpose and you do not provide any of the above Taxable Supplies you can not get ITC on car purchase.
CAclubindia
