Dear Experts
We are limited company
our out put is exempt from excise duty but sales tax is payable
we buy tools for manufacture of our finished product on payment of excise duty and sales tax
since our out put are exempt from Excise duty, we have not registered under excise
we pay the tool supplier including excise duty which is capitalised
now we are going to buy new tools next week for around 50 lacs for which we have to pay excise duty of 6 lacs 4 lacs as sales tax
Question : assuming that we are not capitalizing the excise duty and sales tax whether we can take Input tax credit ( ITC ) on transitional provision rules as on 1st july 2017 assuming it is the go live date for GST
Thank you
Govind
CAclubindia
