Can a gst taxpayer claim ITC of GST on purchase of godown building materials?
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Quick Summary
This discussion clarifies whether GST Input Tax Credit (ITC) can be claimed on building materials purchased for repairing a company's godown. Generally, ITC is not available for materials used in constructing a new building. However, for repairs, it depends on how the expense is treated. If treated as a capital expense (added to the asset's value), ITC is unavailable. If treated as a revenue expense, you can claim the ITC.
It depends how you treat repair expense. if you treat repair as capital expense (i.e.add to the asset value) then ITC will not be available. and if you treat repair as revenue exp then you can take ITC
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