INPUT TAX CREDIT FOR CONSTRUCTION OF HOSPITAL

[VASUDEVAN NAMBOOTHIRI]

Sir,

We are constructing a Hospital complex. We directly purchase some goods and use in construction. Are we eligible for input tax credit.

AI Summary

ITC Unavailable for Hospital Construction Under GST Unless Part of Taxable Works Contract Service A discussion on a forum addresses whether input tax credit (ITC) is available for constructing a hospital under the Goods and Services Tax (GST) framework. The consensus is that ITC is not available for personal use or exempt services like healthcare. However, if the construction is part of a taxable works contract service, ITC may be claimed. The distinction between personal use and service provision is emphasized, with multiple contributors agreeing that ITC is not applicable when the output service, such as healthcare, is exempt from GST.