GST - input claim Repairs & Maintenance

[shobiraj t]

Sir,

Our consultant has filed our GST returns by claiming input credit on reparis and maintenance ( financial year 2019-20)

a) GST -input credit on Repairs and maintenace ( input credit on paint purchase )

b) GST - input credit on Vehicle reparis and maintenance ( we are a trading concern - delivery goods to our customers by truck ( commercial vehicle )

c) GST - INPUT Credit on vehcilce repairs and mainteance - Car - used for delivering materials ( not a commercial vehicle )

Sir, i came to know that we cannot claim Input credit on repairs and maintenance - Building & , vehicle

Kind request, I want to know whether Input credit is eligible or in eligible

Kind regards

shobiraj

[KASTURI SETHI]

Query-wise reply is as under:-

1. ITC is allowed if these expenses are not capitalized in books of account.

2. Allowed

3. Not allowed.

[Ganeshan Kalyani]

I agree with Sri Kasturi Sir. ITC on repairs and maintenance expense is allowed only when it is not capitalized in the books. And ITC on repairs to commercial vehicle is allowed where as on car it is not allowed.

AI Summary

Input tax credit eligibility: ITC allowed for non-capitalized repair expenses; commercial vehicle repairs qualify, cars do not.
ITC for repairs and maintenance is allowable only when the expense is not capitalized; consumables like paint used for repairs qualify if treated as revenue expenditure. Repairs to commercial vehicles used for goods transport attract ITC, whereas repairs to non-commercial passenger cars do not, the distinction resting on the asset characterisation and accounting treatment.