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ITC on Capital Goods

Iranna Biradar (Auditor) (98 Points)

20 January 2018

Is there any provision to claim ITC on capital goods

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10 Replies

Shankar Sharma (510 Points)
Replied 20 January 2018

Yes you can claim ITC. But cannot if you claim depreciation on GST

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Iranna Biradar (Auditor) (98 Points)
Replied 20 January 2018

one of our party is manufacturing company , can company claim itc on capital goods

Shankar Sharma (510 Points)
Replied 20 January 2018

Yes if the equipment is used to produce the company.'s products.

Iranna Biradar (Auditor) (98 Points)
Replied 20 January 2018

asset is used in office

Shankar Sharma (510 Points)
Replied 20 January 2018

OK. If it is used for furtherence of business ITC can claimed.

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Renu Goyal (Professional) (504 Points)
Replied 20 January 2018

However there are certain goods like motor vehicles on which you cannot calaim ITC

Iranna Biradar (Auditor) (98 Points)
Replied 20 January 2018

what are the assets , which we cannot claim itc

CA Jaspreet Kaur (Practice) (192 Points)
Replied 20 January 2018

(a) motor vehicles, except when they are supplied in the
usual course of business or are used for providing the
following taxable services—
(i) transportation of passengers, or
(ii) transportation of goods, or
(iii) imparting training on motor driving skills;
(b) goods and / or services provided in relation to food
and beverages, outdoor catering, beauty treatment,
health services, cosmetic and plastic surgery,
membership of a club, health and fitness center,
life insurance, health insurance and travel benefits
extended to employees on vacation such as leave
or home travel concession, when such goods and/
or services are used primarily for personal use or
consumption of any employee;
(c) goods and/or services acquired by the principal in
the execution of works contract when such contract
results in construction of immovable property, other
than plant and machinery;
(d) goods acquired by a principal, the property in which
is not transferred (whether as goods or in some
other form) to any other person, which are used in
the construction of immovable property, other than
plant and machinery;
(e) goods and/or services on which tax has been paid
under section 8; and

(f) goods and/or services used for private or personal
consumption, to the extent they are so consumed.

Iranna Biradar (Auditor) (98 Points)
Replied 20 January 2018

tq sir

Iranna Biradar (Auditor) (98 Points)
Replied 20 January 2018

one more quarry sir,
i am paying loan processing charges with gst 18% to bank
like processing charges 10000 + gst 1800 , whether can i claim that gst as itc