CA in Practice
1340 Points
Joined September 2013
Inward supply of works contract services in relation to immovable property (except P&M) is not eligible for input tax credit, unless you are engaged in providing works contract services.
Works contract referred here includes renovation, additions or alternations, to the extent of capitalisation, to the said immovable propery. In case the same is not capitalised in the books of accounts, then there is no restriction in taking ITC.
Your case you said that you have capitalised. Hence, no ITC.