Go AD-Free with CAclubindia Pro and get a FREE CCI Coffee Mug. Subscribe Now!

availment of input credit on steel

raja m (1 Points)

24 December 2017

Dear all,

we had purchased ms tubes and steel for the purpose of display our material like interior design items. shall we avail claim on steel

please help me

Reply
Follow
Share

4 Replies

sudip sharma (article) (734 Points)
Replied 24 December 2017

if it forming part of building then no. otherwise we need to check what kind of supply and your purpose, then I can confirm say anything.

Upgrade to CAclubindia Pro. Subscribe Now!

RAJA P M ("Do the Right Thing...!!!") (128101 Points)
Replied 25 December 2017

Yes... You can avail the benefit of ITC if you ll convert the materials to Fixed Assets...

1 Like

Ankush Kumar (233 Points)
Replied 25 December 2017

Dear Mr. Raja pm are you saying that we can take input credit only in case of capitalisation of material of building. we can't take credit of material and Labour if we post it in profit & loss a/c as repair expenses. Plz reply.

1 Like

RAJA P M ("Do the Right Thing...!!!") (128101 Points)
Replied 26 December 2017

1. In case A Steel Trader use the Steel to their own use as per above its consider "Self Consumption"and the ITC will be reversible...

2. As per above "Other than Related business" also he can't sell the goods. He use it displays his goods so, it's under "Furniture and Fittings"..