Can a trader avail input tax credit on capital goods like a car purchased.
5 Replies
om singh
(20 Points)
Replied 15 September 2018
Of course input can be availed on capital goods purchased but cannot take benefits of depreciation on such input taken..
Kunal Pansari
(Accountant)
(1037 Points)
Replied 16 September 2018
What type of car? And for what purpose is it being used?
Pankaj Rawat
(GST Practitioner)
(55052 Points)
Replied 16 September 2018
No on car its itc block U/s 17(5), so cant claim ITC
Vatsla Alagh
(1545 Points)
Replied 16 September 2018
As per section 17(5), input tax credit shall not be available in respect of the following, namely:-
[a] motor vehicles and other conveyances except when they are used--
[i] for making the following taxable supplies, namely:-
[A] further supply of such vehicles or conveyances ; or
[B] transportation of passengers; or
[C] imparting training on driving, flying, navigating such vehicles or conveyances;
[ii] for transportation of goods;
[a] motor vehicles and other conveyances except when they are used--
[i] for making the following taxable supplies, namely:-
[A] further supply of such vehicles or conveyances ; or
[B] transportation of passengers; or
[C] imparting training on driving, flying, navigating such vehicles or conveyances;
[ii] for transportation of goods;
Vinod Babu
(24196 Points)
Replied 16 September 2018
As per Sec 17(5) no ITC is available for motor vehicle except used for business, imparting training for driving or for transportation of passenger &goods. So no ITC available.
Recent Topics
- GST on religious and charitable institutions
- File an Amended Income Tax Return to Exclude Polit
- FIFT TO HUF - SEC 64 AND SEC 54 RELATED
- Selling my 12+ years old Private Limited Company
- 5 YEAR OLD DELHI ROC COMPANY
- GST Order to pay penalty without proof of wrongdoi
- TDS Applicability on Rent to KINFRA
- Profit and Loss Statement Analysis: Gross Profit,
- PAYMENT OF RCM under gst
- Tally Entry On Accounting Payables
Related Threads
CAclubindia
