Itc on capital goods in case of a hospital cum pharmacy
This query is : Resolved
24 April 2018
If both the hospital and pharmacy is under the same gstin registration, can the input tax credit on purchase of fixed assets be claimed proportionately against the output tax liability of taxable medicine sales of the pharmacy?
Whether is it beneficial to not to claim credit and rather show the full amount including taxes as Cost of Fixed asset and claim depreciation thereon?
Whether is it beneficial to not to claim credit and rather show the full amount including taxes as Cost of Fixed asset and claim depreciation thereon?
KAVIRAJA ADDANGADI
(Expert)
24 April 2018
Reply is very clear This follows the simple principle that credit is allowed on inputs only if tax is charged on the output. You are not charging any outputs on patient services, you can not adjust output GST On pharmacy from other hospital input service, Even though GSTIN are same since one is exempted services and another is taxable. You cannot avail ITC of hospital.
Read more at: https://www.caclubindia.com/experts/itc-on-capital-goods-in-case-of-a-hospital-2649724.asp
Read more at: https://www.caclubindia.com/experts/itc-on-capital-goods-in-case-of-a-hospital-2649724.asp
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- Tax on Amount transferred in HUF Account
- Nursery business
- GST input credit on commercial property
- GST REFUND ISSUE ON PURCHASE OF PLANT AND MACHINERY
- TDS on Dashcam rent and allied services
- Working on Gold wastage during Melting of old gold jewellery
- How do you manage client document collection and follow-ups in your CA/CS practice?
- ETDS return q4 25-26
- Capital gains in IT returns
- IMS (import of goods) ITC related
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
