Whether input credit avalied or not ?
This query is : Resolved
18 November 2014
Dear Sir, We are having two different business under one company 1. Used Scrap Tyres 2. Communications (Internet Service providers). In tyres business we are buying & selling the U/S. Tyres with a VAT @14.5%. But in Communication Business we are purchasing Capital Items and paying VAT on the Purchases and there in no Output VAT on this business . We are Charging Service Tax only on the Communication Business. My Question is that whether I can avail the Input Credit on the Communication Business or Not ? Please explain.
Read more at: https://www.caclubindia.com/experts/modify_message.asp?entry_id=910014
Read more at: https://www.caclubindia.com/experts/modify_message.asp?entry_id=910014
Amol S Joglekar
(Expert)
18 November 2014
No. The VAT paid on the purchases of capital assets can not be made available for input credit.
Rupesh Jain
(Expert)
22 November 2014
if you out service in not taxable then you cannot take the input on purchases.
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
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Accounting treatment of AMC alongwith the purchase of Laptop
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Taxation of crypto futures in India Fy 2026- 2027
- Transfer of Physical Stock Between Two Proprietorship Concerns
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- EPF ECR NEW RULES Sep 17th 2026
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- 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
- Goods sold but invoice not issued
- 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?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
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
