Dear Sir,
Please clarify can be take GST credit in case any mfg. co. has taken Truck on rent for dispatch of goods from its factory to customer premises.
in section 17, credit is denied for Motor car and other conveyances except few usages:- i.e. if used for ''transportation of Goods'' then whether it will be allowed.
Then i want to confirm that whether this clause is applicable only for GTA or for any business usage. Please confirm.
Thanks,
CA Gorav Goyal
GST Credit Claim Debate: Renting Trucks for Goods Transport from Factory to Customers-Clarification on Input Tax Credit Rules. A discussion on a forum addressed whether a manufacturing company can claim GST credit for renting trucks to transport goods from its factory to customer premises. One participant clarified that GST credit is not available for purchasing motor vehicles, but it is eligible for rented vehicles. Another agreed, specifying that this exception does not apply to all business uses. A further query questioned the basis for this interpretation, seeking clarification on applicable sections or rules. The final response indicated that no Input Tax Credit is available for outward supply in this context. (AI Summary)