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Input on Iron Racks made in Godown

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Abhishek Ranka

Accounts and Tax Manager

62 Points Posted on 13 July 2021

Namaskar Respected Intellectuals,

My query is, In our Godown with the help of Metal Pipes and Angles we have made huge size racks for keeping the furniture (as we are dealing in furniture Pan India). Such racks are with Nuts and bolts attached to ground and welded with each other to increase the length. With the help of labors we can dismantle the same. Can we take input credit?

Replies (2)

Quick Summary

This discussion addresses whether input tax credit (ITC) can be claimed for custom-made iron racks constructed in a godown using metal pipes and angles. The consensus is that if these racks are used for business purposes, specifically for storing furniture for pan-India distribution, then ITC is eligible. The racks are described as large, bolted to the ground, welded for length, and capable of being dismantled with labour.