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Input credit on capital goods

VAT (Legacy) 874 views 4 replies

hotel cum resturant cum bar

Newly establish

VAT paid on purchse of AC, Kitchen Equipments & Marbels etc

Can we claim input credit on capital goods against food bill

Replies (4)

Dear Mr. Pradeep,

you can claim the ITC(Input Tax Credit) on Capital goods against Vat liablity of Food Bills.

 

 

But sir VAT credit on capital goods Rs. 11,52,100.00

Whereas monthly output VAT for March 2015 only Rs. 23500.00 (business start from march 2015)

is there any carry forward limitation ?

Firstly you can not claim the ITC on capital goods on all the capital goods there is negative list mentioned in the law so please check first whether any of your asset is covered under negative list.

Secondly you cannot claim the whole credit in sigle year (purchase year) it will be bifurcated in more than one year.

Yes you can carry forward the remianing amount there is no limit on carry forward.

Is VAT paid on capital goods such as Marbels, AC, TV, Fridge  for hotel  set up covered under negative list in West Bengal ?


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