Gst on capital goods

CA Sudha Bothra (Service) (70 Points)

29 May 2018  

Hello All,

 

I will be purchasing an equipment for leasing in West bengal which will be leased to a client in Orissa.

Purchase invoice will give CGST & SGST credit. Sales invocie needs to be raised from Kolkata address and place of supply as well as bill to is Orissa.

What will be the GST implications.

Also the equipment will be partly on bank finance so GST credit for that can also be offset if yes how.

Cost of Equipment  = 100+18(GST)  = 118

Monthly Lease rentals = 20 including GST.

Please explain with example.

Thanks in advance :)