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ITC on Purchase of car

Manikanta juluri (Student) (252 Points)

27 August 2019

In a propreitary business car is purchased, can I calim ITC, in GST2A it is reflecting.

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7 Replies

Tarun Dutt (29 Points)
Replied 27 August 2019

itc on car purchase not allowed. only a car dealer can take itc

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Komal Barapatre (210 Points)
Replied 28 August 2019

if you have provided your gstin to the showroom, and in gstr2a it is reflecting, so you can take the itc credit

Tarun Dutt (29 Points)
Replied 28 August 2019

motor vehicles for transportation of persons having approved seating capacity of not more than thirteen persons [including the driver], except when they are used 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;

Shivam RC (Student) (23683 Points)
Replied 28 August 2019

ITC on Motor Vehicles is BLOCKED u/s 17(5) of the CGST Act 2017.

However, there are few exceptions. For what purpose you have purchased the vehicle ???

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Amandeep Singh (Private Job) (436 Points)
Replied 28 August 2019

Sir,

We have purchased mobile phone for business purpose. Can i claim deprecation and ITC on mobile phone

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Amandeep Singh (Private Job) (436 Points)
Replied 28 August 2019

Sir,

We have purchased mobile phone for business purpose. Can i claim deprecation and ITC on mobile phone

Shivam RC (Student) (23683 Points)
Replied 30 August 2019

Yes you can claim ITC on Mobile Phone purchased for business purpose provided that all the 4 conditions as laid down u/s 16(2) of the CGST Act 2017 have been satisfied.

However, by virtue of Section 16(3) of the CGST Act 2017, if ITC on Tax portion is claimed,then no Depreciation will be allowed u/s 32 of the Income Tax Act 1961 on the Tax portion.