Question 13 - A taxable person is in the business of information technology. He buys a motor vehicle for use of his Executive Directors. Can he avail the ITC in respect of GST paid on purchase of such motor vehicle?
ITC on motor vehicles restricted; allowed only for businesses transporting passengers or goods or providing vehicle training. Input tax credit on motor vehicles is not available to a taxable person purchasing a vehicle for executive directors unless the taxpayer is engaged in transporting passengers or goods or providing motor vehicle training, in which cases ITC is permitted.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
ITC on motor vehicles restricted; allowed only for businesses transporting passengers or goods or providing vehicle training.
Input tax credit on motor vehicles is not available to a taxable person purchasing a vehicle for executive directors unless the taxpayer is engaged in transporting passengers or goods or providing motor vehicle training, in which cases ITC is permitted.
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