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input credit on computer & computer parts

This query is : Resolved 

23 May 2008 This being a software company in Gujarat purchasing computers which are capitalised and alos purchasing computer related parts whcih are debited to repairs & main. exps .

Query 1: Can we take input credit of vat charged on computers, which are capitalised under gujarat Vat Act?

Query 2 : Can we take input credit of vat charged on spares and parts of computers which are debited to repairs & main. exps, under Gujarat Vat Act?

23 May 2008 urgent

02 June 2009 each have it's own opinion in this regard.
as per sec 11 (5)(k), you are not eligible for vat credit, if material is not related to your bussiness.
but since in your case u cann't even perform work without said material.


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