16 May 2019
Dear Experts, Pls guide can we avail the ITC of air conditioner and Refrigerater used for office purpose.... does section 17(5) of cgst act. Restrict the same.....
16 May 2019
Yes you can avail the ITC. Sec. 17(5) of CGST Act, 2017, does not restricts the ITC on air conditioner and refrigerator purchased. Only works contract services are restricted with certain conditions w.r.t to plant machinery.
In your case, as it is pure purchase, you can avail ITC on the same.
16 May 2019
But question arise:- does these AC and Refrigerater stand within the Purview of capital assets if yes then is it allowable to avail the 100% ITC
16 May 2019
As per GST, anything which you capitalize in your books will be treated as capital assets as per GST. If you are not having any exempted supplies, then 100% credit is allowed on such capital assets.
16 May 2019
But rule 43 state that the capital asset should be used exclusively for furtherance supply in the scenario of capital assets such as Mobile Air conditioner also Refrigerater is used partly for personal uses....therefore during the assessment officer may object the ITC thereof upon exclusively for furtherance supply...
CAclubindia
