CAN I CLAIM ITC ON REWORKING OF FIRM

This discussion clarifies whether a textile firm can claim Input Tax Credit (ITC) on expenses incurred during renovations, such as interior decoration, tiles, AC, and paint. The key factor is how these expenses are treated in the company's books. If treated as revenue expenditure (like repairs and maintenance), ITC is generally claimable. However, if capitalised as part of the firm's assets, ITC is typically not available. The decision to capitalise often depends on the materiality of the amount and other accounting factors.