Hi, I have a query on Vat credit..Kindly help me out.I bought new vehicle on 1st January, 2014. VAT paid by me while purchasing the vehicle can it be claimed as capital VAT input credit (i.e 50% current year and balance 50% next year). Whether this input credit can it be adjusted against sale of engineering components.
Whether the un-availed capital input credits of the above can it be eligible for refund?
Thanks in advance.
Maithili generally the vehicles are covered under the category of goods which are specifically excluded from Input tax credit.
Still I can let you know the exact treatment if you can let me know the name of the State
Dear sir,
In case of Tamil Nadu, ITC is not eligbile to claim on purchase of vehicles even its used in factory for carrying the goods, etc. Its very clearly listed in TN VAT ACT No.32 of 2006 (11) "Capital Goods means - "
hi
ITC can be claimed but the purchased vehicle should be used in the process of production. under TNVAT Act, the ITC can be claimed on the tax paid for capital goods in 3 years(50% in the first year, rest in the next two years.
In Tamil nadu, the ITC can be taken only for the capital goods,used in production,which is very clearly referred in the ACT, as PLANT & MACHINERY. That too,50% in I yr and 25% each in II & III year.
If A company doing mining activity. and extracting ball clay by using truck. I think in that is truck are plant and machinery and direct nexus with production process.
Can we take input credit for input for vat paid at the time of truck purchased.
and so many times we replaced the tyre/tube and parts of the truck. can we take the credit of input for vat paid at time of replaced the tyre/tube etc.
my company bought a 2 wheeler for the transport og produced goods. is it elegible for vat input?
Shailey
CAclubindia
