ITC ON REPAIRS ON CONSTRUCTION

[RV PERUMAL]

SIR, A FACTORY CARRIED OUT REPAIRS AND RENOVATION ON THEIR FACTORY BUILDING. WHETHER THEY ARE ELIGIBLE TO TAKE ITC ON CEMENT, STEELS AND OTHERS AS PER SEC.16 OR NOT ELIGIBLE AS PER SEC.17(5)(d). KINDLY POST AND GUIDE

AI Summary

Factory Seeks Clarity on ITC Eligibility for Cement and Steel in Building Repairs Under GST Regulations A factory conducted repairs and renovations on its building and sought clarification on the eligibility for Input Tax Credit (ITC) on materials like cement and steel under GST regulations. Responses varied: one indicated ITC eligibility if repairs are not capitalized and pertain to taxable business activities, while another noted ITC is available only for construction related to plant or machinery, excluding civil structures. A reference to a decision by the Authority for Advance Ruling in Rajasthan was provided for further guidance. The original inquirer expressed gratitude for the detailed responses received.