Input tax credit on works contract

Suraj (735 Points)

11 July 2017  

Apportionment of credit & blocked credits

I have a query regarding Input tax credit in case of Works contract.

A works contractor undertakes contract of electrical fittings for an immovable property. So whether he is eligible for input tax credit on the material used for the contract or whether it will be disallowed under section 17 clause 59(c) which states works contract services when supplied for construction of an immovable property (other than plant & machinery)except it is an input service for further supply of works contract service.

Kindly guide.

Regards,

Suraj