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ITC on fixed assets

shabaz a (47 Points)

14 June 2019

can we claim ITC on fixed assets?
like any moveable and immovable.

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4 Replies

Nikhil Bhatia (Article) (309 Points)
Replied 14 June 2019

yes, but only when, you have not claimed depreciation on such fixed assets.

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Aditi (Articles) (169 Points)
Replied 14 June 2019

For few things like Motor Vehicles with capacity less than 13 seats and any expenditure towards building construction, ITC cannot be claimed.

Twinkle Kihhan (64 Points)
Replied 14 June 2019

ITC on immovables cannot be claimed if you are capitalizing such immovable. But if you are expensing off the expense incurred on the immovable ITC of such expense can be claimed. Further there are other ineligiblities provided under section 17(5) of the Act you may refer the same

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stapler (bus) (282 Points)
Replied 15 June 2019

@ Twinke Kihhan, this means that if an old factory shed is repaired, and expenses on GC Sheets, Pipes, Angles, Channels etc. are not capitalized, but booked as expense in P&L Account under the head of building repairs, then ITC will be available. Is it correct, or are there any restrictions under the GST law? Please confirm. Thanks.