asset capitalizing entry

50000 INCLUSIVE OF GST ?? 

WHAT IS YOUR GST AMOUNT. HOU MUCH GST CHARGED?

Following is the Accounting Entry :

1 ) Entry for the receipt of Invoice 

Laptop A/c Dr.            42000

CGST @ 9% A/c Dr.    3780

SGST @ 9% A/s Dr.    3780

To Vendor A/c                       49560                      

( Being Laptop purchased )

2 ) Entry at the time of payment

Vendor A/c Dr          49560

To Cash A/c                                   20000

To Redemption Points ( Asset ) A/c 29560

( Being payment made for purchase of laptop )

Please note that If you are claiming depreciation on the Invoice Value then you cannot take ITC. i.e depreciation cannot be claimed on GST portion.

If you are capitalising the base value only then GST can be claimed.

When you got redemption point you would have debited the redemption point ie. at the time of credit into your account. It is just like cash coming in (If you treat it as an asset).

Now you are crediting it because the same is to be reduced from that balance.