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ITC in GST on Capital Goods being Vehicle
GST paid on Transport Vehicles is not available, however is this True for the Case of Vehicles used in delivery of Dominos types of chains where vehicles are used to supply food?
Replies (4)
Yes.
section 17(5) blocks credit of Motor vehicles.
However, if such motor vehicle is used for further supply of such vehicle,
or
further supply of goods in course or furtherance of business,
then credit is available.
Vehicles used by Dominos are apparently used for delivering finished goods to the final consumer I.e. in course or furtherance of business, hence, ITC is available on such Vehicles.
section 17(5) blocks credit of Motor vehicles.
However, if such motor vehicle is used for further supply of such vehicle,
or
further supply of goods in course or furtherance of business,
then credit is available.
Vehicles used by Dominos are apparently used for delivering finished goods to the final consumer I.e. in course or furtherance of business, hence, ITC is available on such Vehicles.
CREDIT CAN BE AVILED AS MOYER VEHICLE IS USED FOR EXCLUSIVELY FOR BUSINESS
Credit maybe availed depending on circumstances of each case.
AS PER SEC 17(5) YOU ARE ELIGIBLE TO TAKE CREDIT OF TAX PAID
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