TaxTMI 
TaxTMI 
I run a Multistate cooperative society in which I'm purchasing commercial vehicle with ITC of 8 lakhs where I'll be advertising my institution loans and interest rates
So will I be eligible for ITC on this vehicle purchase?
ITC credit eligibility on commercial vehicles
12 Sep 2023 
5 Replies 
13344 Views Asked by
Input tax credit for commercial vehicles may be allowed for advertising use, subject to apportionment and reversal rules.
Input tax credit for a commercial vehicle used for advertising is available only if the vehicle is not within the blocked passenger-transport category, is capitalised and used for business, and the registered person complies with apportionment and reversal requirements for mixed or exempt use; related insurance and servicing credits are similarly conditioned and elective limitations may cap available credit. (AI Summary)
Input tax credit for a commercial vehicle used for advertising is available only if the vehicle is not within the blocked passenger-transport category, is capitalised and used for business, and the registered person complies with apportionment and reversal requirements for mixed or exempt use; related insurance and servicing credits are similarly conditioned and elective limitations may cap available credit. (AI Summary)