Input vat on capital goods in case of hotel industry.

CA IN PRACTICE... ( CA ) (490 Points)

24 December 2012  

Hi frnds, i have a query .

One of our  client is running hotel industry. He just started work in October 2011 . He purchased 3rd  floor of one building and maintain all decor and construction/renovation work. now issue for the claim of VAT input on capital goods. In VAT act Punjab the input is claimed on only Capital goods used for production. ie Plant & Machinary, My clients asked me i didnt have any plant & Machinary in hotel but have other assets so i cant take input vat on any assets i have.

Please on which items the input vat can be claimed if i had vat invoice.The list of assets purchased are :-.

1. Fittings & Decor (Wood).

2. Electric Fitting .

3. Furnitures & Fixtures.

4. Kitchen equipments.

5. Uniforms.

6. Neon Sign Boards.

7. Computers & softwares.

8.Air Conditioners(fitted in Restaurent).