Installation of Rain Water Harvesting

[S.C. WADHWA]

Dear Experts,  

We have installed two rain water harwesting pits in our factory. This is as per requirement of Haryana Ground water Authority. We are manufacturers of Food items both as taxable and exempted. Now my query is whether we will get common ITC or full. If Full, please quote us any circular or judgement

REGARDS,

WADHWA

AI Summary

Input tax credit entitlement: common ITC for rainwater harvesting pits, not full credit, subject to proof against civil structure challenge
Where rain water harvesting pits are used for both taxable and exempt manufacture, input tax credit should be treated as common (apportioned) rather than full; the department may contend the pits are a civil structure and block credit, so the registered person must prove the pits qualify as plant/apparatus used in manufacturing, relying on judicial definitions and the statutory burden of proof to support entitlement.