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Input on Decoration items for Showroom purpose

Abhishek Ranka (Accounts and Tax Manager) (62 Points)

29 March 2021

Hi all,

Can we claim GST input on Decoration Items purchased for Showroom?

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10 Replies

CA. Sourav Sarkar (Chartered Accountant ) (24583 Points)
Replied 29 March 2021

I think you cannot claim ITC on decoration items for shiwroy

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PRASANT BISOYI (261 Points)
Replied 29 March 2021

Sourav, will u let me know the reason for nonavailment of such ITC...

Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 29 March 2021

Yes you can claim . but better plz specify decoration items

CA. Sourav Sarkar (Chartered Accountant ) (24583 Points)
Replied 29 March 2021

But decoration items are not used for furtherance of business

Abhishek Ranka (Accounts and Tax Manager) (62 Points)
Replied 30 March 2021

Dear Sourav, decoration items in Showroom of Furniture are used for furtherance of Business as its a Marketing trick. Customers get attracted by that. Now saying that can we claim? If not by any one then please specify rule.

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Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 30 March 2021

As such it's not cover under Section 17(5). probably you would books such expenses under " Office expense" hence credit can be available.

Abhishek Ranka (Accounts and Tax Manager) (62 Points)
Replied 30 March 2021

We have options of Ledger heading, but don't you thing thru HSN code, Department can point out?

Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 31 March 2021

Dear Abhishek
In my first reply I ask for descripttion of Decoration Item being purchased. Hence can you clarify the same for precise reply to your query.

Abhishek Ranka (Accounts and Tax Manager) (62 Points)
Replied 31 March 2021

Dear Pankaj Ji,

We are into Import of Furniture and Sell in India, we have 90+ showrooms. When we are opening New Showrooms, there we put small artificial plants, big artificial plants and pots, some crafted utensils on tables (tables for sale) like such things for decoration to showroom. Those items are purchased for worth of Rs. 2,00,000/- approx.

Kindly let me know in case of any confusion.

Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 31 March 2021

No there is no confusion.

i do not find any of above expenses to be cover under block list so all such expenses can be put under office expenses or equipment & itc can be claim.