Whether the manufacturer is eligible to take input tax credit available on the purchase of Computer, UPS,Xerox,scanner, Antivirus pack.
Whether the manufacturer is eligible to take input tax credit available on the purchase of Computer, UPS,Xerox,scanner, Antivirus pack.
Input credit is applicable only on the products which is directly related with the trading goods. So, I am agree with Vipul that input credit is not available in office equipments.
Under Cenvat Credit rule, Credit on Input material used in relation to final product is allowed as a credit, same rule is applicable to Vat as well, but there are some exception. In Mahrashtra VAT, if you Purchase Office equipment after sep 2007 & treate them as Capital Asset which is not transferable, then u are allowed to take credit on said purchase after reducing 3 % set off calculated on purchase price & balance will be allowed as a credit.
U need to check the provsion of respective state VAT act.
| Originally posted by :Pravin Nemad | ||
| " | Under Cenvat Credit rule, Credit on Input material used in relation to final product is allowed as a credit, same rule is applicable to Vat as well, but there are some exception. In Mahrashtra VAT, if you Purchase Office equipment after sep 2007 & treate them as Capital Asset which is not transferable, then u are allowed to take credit on said purchase after reducing 3 % set off calculated on purchase price & balance will be allowed as a credit. U need to check the provsion of respective state VAT act. |
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Can v get input credit on capitalied items (like computers, machinery & furnitures etc.) in the state of Delhi?
Naveen Fintech Pvt Ltd
Kolkata
CA Inter
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Gupta Sachdeva & Co. Chartered Accountants
New Delhi
CA Final
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CAclubindia
