Itc on capital goods

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This query is : Resolved

Rakesh Sharma (Querist)

15 June 2018 Dear Experts,

Can we claim full ITC on capital goods in Ist Year which is to be used
for manufacturing and for business furtherance. The details of Capital Goods
are given below :-

1) Machine used for Manufacturing
2) Computer used for maintaining GST records etc.
3) Office Chair & Almirah & some other office furniture.
4) Mobile phone only used to talk to business related communications.
5) Lorry used to Inward & outward of materials.
6) Any repair & maint. charges on above i.e. Lorry tyres, machine damaged parts etc.

Please guide me.

Regards,

Rakesh Sharma

CA Padmasri Manyam

CA Padmasri Manyam (Expert)

15 June 2018 Credit can be taken in all the above inward supplies, since the same are not covered under blocked
credits prescribed under Section 17(5) of CGST Act.
Input tax credit on capital goods also allowed 100% in the year of acquisition under GST.
If the above inward supplies are used for both taxable and exempted/personal use then proportionate
credit need to be reversed. Otherwise full input tax credit can be claimed.

Message likes : 2 times

Rakesh Sharma

Rakesh Sharma (Querist)

15 June 2018 Thanks a lot Mam for your guidance

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