LIC input tax of partner

This query is : Resolved 
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This discussion explores whether input tax credit (ITC) on LIC premiums paid by a partnership firm for its partners can be claimed. Initially, it was suggested that if for personal use, it's not claimable. However, the final consensus is that LIC premiums are prohibited under Section 17(5) and therefore, cannot be claimed as ITC, regardless of how it's treated (expense or capital drawing).

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(Querist)
14 February 2025 Sir.
One of partnership from take LiC for this partner(husband & wife).They make payment through firm account. Input reflect in 2B. Can get calim in 3B.
Please advise
Binu
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Nikhil Kaushik

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Nikhil Kaushik (Expert)
14 February 2025 if it is for personal purposes, then yes, it should not be claimed.
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binu sukumaran

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binu sukumaran (Querist)
14 February 2025 Thanks for information Nikhil sir.
Both are 2:1 partner share.
Can this treat expense or there capital drawing.
With Regards
Binu
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Nikhil Kaushik

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Nikhil Kaushik (Expert)
15 February 2025 better to treat as drawings only.
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binu sukumaran

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binu sukumaran (Querist)
15 February 2025 Thanks you Hikhil sir
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ASHWANI DHANUKA

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ASHWANI DHANUKA (Expert)
16 February 2025 Prohibited u/s 17(5). Cannot be claimed irrespective of its treatment as expense or drawing
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