Ca shoes

likes

No, he cannot. The law says only "in the course or furtherance of business" and not for business purpose.

What a 😄question?
No. He cannot claim ITC.

okay guys 

now that all of you are done making fun of the question, its infact an existing problem.

I know for sure people who buy everything they can in their business name and use the purchases for personal use. the ACs are never taken to business premises but to bedrooms and ITC claimed.

Now as far as my question is concerned many of you just replied by saying NO CA cant take ITC but no one gave reason for it.

How is it that the PC purchased by CA is eligible for ITC (used for CA practice) and not shoes.

How can u refute CA's argument that shoes are his business shoes?

please support your answer with relevant sections/rules/notifications and not by simple Yes or NO.

regards

shivani

Section 7,9, 16 of CGST Act,2017 are relevant sections

Dear Sundarajan

16. (1) Every registered person shall, subject to such conditions and restrictions as
may be prescribed and in the manner specified in section 49, be entitled to take credit of input
tax charged on any supply of goods or services or both to him which are used or intended to
be used in the course or furtherance of his business and the said amount shall be credited to the electronic credit ledger of such person.

So what makes you think that no credit will be allowed on shoes?

How is it that you say business clothing and shoes etc (which can easily run in thousands) are not entitled to ITC but a laptop can?

Regards

 

 

Whether it runs to hundreds or thousands doesn't matter. It is only whether that particular inward supply contributes to the value addition. First of all, GST is a value added tax, where input tax credit on inward supplies of both goods and services can be availed and utilized. Shoes purchased by a CA can't be said as contributing to the value of services performed by him. For instance, filing of ordinary salary ITR may be charged at RS.1500 by him. 1500 is only for the work done by him. He may wear shoes, chappal, or a very pious CA may not wear any footwear inside office. Wearing of footwear is personal consumption. It doesn't contribute to the value of services performed by him. As regards clothing, if that particular clothing forms part of office furniture, yes he can.

Yes. Nice answer sir.
I agree with Mr Sundarajan Sir.
CA uses the Laptop for providing services like IT filing, Gst filing and other services. He is receiving a amount for services rendered by him.
Without the help of laptop, he cant provide the services. So he can claim ITC for it but not for CA shoes. Here shoe is not contributing directly with CA service. No ITC claim for shoe. Because shoe, clothes is personal need of a person.

Section 17(5)(g) says credit is not available on goods used for personal consumption. See whatever is posted here may not satisfy you. These are tacit knowledge. If you want a very authoritative response better apply for advance ruling. Or if you don't want to take that route, not satisfied with these responses, still wish to take credit, please go ahead. If proper officer finds it erroneous, pay tax, interest @ 18 or 24% as per provisions of Section 50 and as per mind of officer. If you are not ready to pay, still against officer, proceed with appeal, we students or members will read it as case law to enrich our knowledge in future.

👌👌👌

What a question , tomorrow you would I have eaten food plus ice cream , I have paid GST on it , I want to get credit of it, The claimed expenditure should be furtherane of business,

Dear Sundarajan

A CA may have fan or no fan in his office.

It doesnt affect his ability to file ITR.

But he gets credit if he has a fan. Doesnt he?

So rebuttal to ur argument.

Dear Vinod

Food is specifically denied Input tax credit under section 17.