GST ITC on repairs

[Madhavan iyengar]

A company has incurred expenses on repairs work, and painting work for admin and factory buildings and these expenses are debited to Profit and loss account

will ITC be allowable.on these expenses incurred for repair and painting work and debited to profit and loss account

AI Summary

Input tax credit on repairs allowed when treated as revenue expenditure, disallowed to the extent capitalised under GST.
Input tax credit on repair and painting expenses for immovable property is allowable where such costs are treated as revenue expenditure and debited to profit and loss; amounts capitalised as part of the building (construction, reconstruction, renovation, additions or alterations) are excluded from ITC to the extent of capitalisation under the Explanation.