PROFESSIONAL
1777 Points
Posted on 26 September 2017
In my view, section 17(5) is not applicable here, since there is no supply of works contract service for construction. The supply merely pertains to sheets and is not coupled with construction. Therefore, the tax suffered on sheets is available for credit. The sheets are inputs intended for use in furtherance of business.
Further, the ITC also avalable in respect of tax paid on Fire Fighing Equments installled in factory, since these are used in furtherance of business.