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What about the ITC on capital goods.

Others 262 views 5 replies
please let me know, whether a person( registered textile dealer) can avail the ITC of the construction materials, which is used for the construction of his shop.
Replies (5)
NO.... except capital goods he can only CALIM.... in yours case.. he shouldn't claim
Please give some more clarity.
U can't CLAIM ITC on capital goods IN CONSTRUCTION WORK

Refer Section 17(5)(d) of CGST Act, 2017

the input tax credit shall not be available in respect of goods or services or both received by a taxable person for construction of an immovable property (other than plant or machinery) on his own account including when such goods or services or both are used in the course or furtherance of business.

No ITC available to the extent it is capitalised.
If the nature of expense is revenue then ITC available


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