Eligible for ITC

ITC / Input 386 views 4 replies
User Avatar

802 Points Joined July 2017
Can I take ITC if we construct a factory & plant a machinery?
0 Reply Share Follow
On 18 December 2018 at 13:55 Report
Replies (4)
User Avatar

1020 Points Joined December 2017
NO ITC is available for goods / services for construction of an immovable property on his own account .
BUT this rule doesn't apply to the construction of plant and machinery .ITC is available for those goods / services used in construction of plant and machinery for his own account.
Reply
On 18 December 2018 at 14:25
User Avatar

Chartered Accountant
39039 Points Joined September 2008

ITC on construction of factory/ P&M. This needs to be broken up into the following: 

1. Construction related to plant and Machinery ( Including the foundation, structures ) where steel and cement is used. Eligible

2. Construction of building - Not available.

3. P&M which may result in immovable property. Eligible.

1 Reply
On 18 December 2018 at 16:29
User Avatar

GST Practitioner
55067 Points Joined June 2017
Any expense towards Building if capitlised , ITC is block . yes you can avail credit on expense against Machinery ( Refer section 17(5))
1 Reply
On 18 December 2018 at 16:32
User Avatar

CA Final student
7106 Points Joined April 2018
Itc cannot be availed on construction of building as per sec17(5).
but in case of plant and machinery you can claim itc
Reply
On 18 December 2018 at 23:30


CCI Pro

Leave a Reply

Post Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Recent Threads

More recent discussions | Post

Related Threads
Loading