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Itc on Construction of Immovable property

veera (self) (287 Points)

10 September 2019

Dear Sir, can we claim itc on Construction of Immovable commercial property.

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5 Replies

saisab maitra (CA ( final )) (16 Points)
Replied 10 September 2019

Itc on Inward supply received by a taxable person for construction of an immovable property other than plant and machinery is not allowed

Ashay Shah (31 Points)
Replied 10 September 2019

Acoording to me,
Any ITC taken on inward supply of construction of an Immovable Property except the construction of plant & machinery mentioned u/s 17(5)(e) cannot be taken.

Hence We CANNOT CLAIM ANY AMOUNT OF ITC on any Construction of Immovable property which is Capitalised in the books.

But here as we know any amount capitalised cant be taken for ITC credit.So at the same time the said expenditure for Construction is Expensed out then for that expense the ITC can be claimed.

Piali Roy Chowdhury (605 Points)
Replied 10 September 2019

No you cannot claim ITC on Construction of Immovable Property as it is Blocked under Section 17(5).

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Pankaj Rawat (GST Practitioner) (55032 Points)
Replied 10 September 2019

No,oooooo, , you cannot

srinivasan (Executive ) (16 Points)
Replied 11 September 2019

yes capital expenditure only not available for credit. if you charge are revenue u can claim. (if used for furtherance of business)

as per 17 (5)

for the purpose of the clauses expression "construction" includes re-construction , renovation, additions, alterations or repairs to the extent of
Capitalisation to the said immovable property.