The Input Tax Credit of Tax paid on cost proposed to be incurred in relation to activity mentioned is not admissible.
Input tax credit— Section 17(5) of CGST Act— The applicant has sought advance ruling on following question-
The Applicant has approached the authority of advance ruling to determine the admissibility of Input Tax Credit of Tax paid on cost proposed to be incurred in relation to activity mentioned in Annexure attached with the application.
The applicant is engaged in the manufacturing of Charger of Mobile Phone & its Parts or Sub-Parts. The Applicant has purchased an old Factory situated at B-204, Phase-II, Noida for Expansion of their business and in said factory applicant shall also make new construction to setup plant and machinery.
When the goods or services are bought for construction of immoveable property which will be used in the course of business, the GST paid on such good or service is also not eligible- to be claimed as Input tax credit if the immoveable property is constructed for own purpose, as the owner will become the end user and he cannot avail ITC of cost incurred on construction goods, as there is a break in the tax chain.
Held that— The Input Tax Credit of Tax paid on cost proposed to be incurred in relation to activity mentioned is not admissible.
The Input Tax Credit of Tax paid on cost proposed to be incurred in relation to activity mentioned is not admissible.
Input tax credit— Section 17(5) of CGST Act— The applicant has sought advance ruling on following question-
The Applicant has approached the authority of advance ruling to determine the admissibility of Input Tax Credit of Tax paid on cost proposed to be incurred in relation to activity mentioned in Annexure attached with the application.
The applicant is engaged in the manufacturing of Charger of Mobile Phone & its Parts or Sub-Parts. The Applicant has purchased an old Factory situated at B-204, Phase-II, Noida for Expansion of their business and in said factory applicant shall also make new construction to setup plant and machinery.
When the goods or services are bought for construction of immoveable property which will be used in the course of business, the GST paid on such good or service is also not eligible- to be claimed as Input tax credit if the immoveable property is constructed for own purpose, as the owner will become the end user and he cannot avail ITC of cost incurred on construction goods, as there is a break in the tax chain.
Held that— The Input Tax Credit of Tax paid on cost proposed to be incurred in relation to activity mentioned is not admissible.