ITC on Repair & Maintenance of Vehicle

whether itc is available on repair & maintenance of vehicles used for business purposes & also itc insurance of vehicles
Replies (4)
Quick Summary
This discussion clarifies whether Input Tax Credit (ITC) is available for repairs, maintenance, and insurance of vehicles used for business purposes. Generally, ITC is disallowed for such expenses under Section 17(5) of the CGST Act. However, exceptions apply if the business is involved in manufacturing, supplying, or insuring these vehicles, or if the vehicles are used for transporting passengers or goods, driving instruction, or navigating vessels/aircraft.

Yes, ITC can be claimed on repairs and maintenance expenses for vehicles used for business purposes

In cases involving general insurance, services, repair or maintenance of a motor vehicle, vessels or draft (as given in point 1), the taxpayer cannot claim ITC.
Exceptions
ITC will be available if

Insurance is received by a taxable person engaged—
In the manufacture of such motor vehicles, vessels or aircraft; or
In the supply of general insurance services in respect of such motor vehicles, vessels or aircraft insured by him
I agree with Sourav ji
Originally posted by : mahesh chitpur
whether itc is available on repair & maintenance of vehicles used for business purposes & also itc insurance of vehicles

Such input tax credits (even if used for business purpose) are specifically disallowed u/s 17(5) of CGST Act unless you are into the following:

i. Further supply of motor vehicles

ii. Transportation of passengers

iii. Imparting training on driving of such motor vehicle

iv. Imparting training on navigating / flying such vessels or aircraft

v. Transportation of Goods

For more details, refer section 17(5) of CGST Act.

repairinf charge on more then 13 seeter bus we have taken input claim or not

 

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