Itc on vehicle repairing expenses

This query is : Resolved

Preetam Singh Shekhawat (Querist)
Follow

04 July 2018 Dear Sir / Ma'am,

We are not in the business of Vehicle. Can we take ITC of repairing expenses incurred on Car used for the purpose of business?

KAVIRAJA ADDANGADI

KAVIRAJA ADDANGADI (Expert)
Follow

04 July 2018 One view interprets that there is no restriction on availing ITC on repair/spare parts of motor vehicles. Thus one can avail ITC on repair/spare parts.

But other experts say that since section 17(5) says that credit “in respect of “ motor vehicle is not allowed and this expression will have wider effect and credit on repairs of the vehicle will not be allowed.

There is no clarity, so as per my option it is better not to claim ITC on repairs and maintenance.

Message likes : 1 times

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now