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ITC on capital goods

11 April 2020

GST input credit available on Import machines & equipments to installed at factory.

Machinery & equipments Including production Used and environment facilities as well other utilities like generators,pipings etc.

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9 Replies

RAJA P M ("Do the Right Thing...!!!") (128111 Points)
Replied 11 April 2020

Yes.... ITC can be avail for the purchase of Capital Goods (Machinery & Equipments) if Your supplies are taxable...

1 Like

ssubramanyam subbus (59 Points)
Replied 11 April 2020

Thank you raja, any conditions to be fulfilled

RAJA P M ("Do the Right Thing...!!!") (128111 Points)
Replied 11 April 2020

If your Supplies are taxable then no more specific conditions...

CA Naveen Chand (Chartered Accountant) (12739 Points)
Replied 11 April 2020

ITC allowed

goods is used in business or furtherance of business

rahul firemike (99 Points)
Replied 12 April 2020

If i buy AC for my office whether am i eligiboe to take itc?

RAJA P M ("Do the Right Thing...!!!") (128111 Points)
Replied 12 April 2020

Yes... You can claim ITC for the purchase of AC which is used in Your office...

(Note : All other ITC conditions fulfilled)

rahul firemike (99 Points)
Replied 12 April 2020

Sir i am doing export with LUT how to correctly mention on gstr 1 pls explain that and also i am proceeding to claim for refund of accumulated itc due to export whether I can do so becuase i have claimed a duty drawback {Dbk+str} pls explain sir!

Pankaj Rawat (GST Practitioner) (55062 Points)
Replied 13 April 2020

Dear Rahul
There is no restrictions in claiming Refund for Un-utilised input on Export of goods with Lut , in case you have claimed the Duty Drawback .
Yes As per Rule 96(10) , the Supplier cannot claim refund for the IGST paid on export , who has been availed benefits under Notification 78/2017 Custom & Notification 79/2017 Custom. but the also been withdrawn by Notification 16/2020 CT .

So in term of Rule 89 , you can claim ITC refund for Unutilised ITC for export without payment tax