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itc on fixed assets

LALIT MOHAPATRA (31 Points)

17 October 2018

Can we take itc on fixed assets and insurance for 2017-18 in sept'18 return. Please elaborate with depreciation effect

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7 Replies

Rakesh Joshi (CA Final) (1272 Points)
Replied 17 October 2018

Please tell what catagory in Fixed asset and nature of business.

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LALIT MOHAPATRA (31 Points)
Replied 17 October 2018

Fixed assets such as cctv camera, furniture's, software for proprietorship distributor business

1 Like

RAJA P M ("Do the Right Thing...!!!") (128083 Points)
Replied 17 October 2018

Yes... You can avail the ITC benefits for the purchase of above said goods...

Also can You Elobrate the Insurance details...

Shivam RC (Student) (23683 Points)
Replied 17 October 2018

You can take INPUT TAX CREDIT ( ITC ) on the above mentioned Fixed Asset.

As far as Depreciation is concerned, you can either claim ITC or Depreciation on Tax Component, but not both....

Refer SECTION 16(3) of CGST ACT 2017....

2 Like

LALIT MOHAPATRA (31 Points)
Replied 17 October 2018

Godown insurance

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Rakesh Joshi (CA Final) (1272 Points)
Replied 17 October 2018

Yes. You can claim ITC on GST paid for such insurance.

Also I agree with above replies. ITC can be claimed on mentioned Fixed assets.

Vinod Babu (24191 Points)
Replied 18 October 2018

Yes you can take ITC when used for business purpose.
As per Section 2(19) of the Central Goods and Services Tax (CGST) Act, 2017, unless the context otherwise requires, the term 'capital goods' means goods, the value of which is capitalized in the books of accounts of the person claiming the input tax credit and which are used or intended to be used in the course or furtherance of business.

For taking ITC., following should also be satisfied

1. Gst registration should be regular type
2. Invoice bill should bears the company name & Gstin
3. Gst bill should be of B2B