Multipal Business in Single GST input use

[KS Bhat]

Sir/Madam

Mr A having Single GST number (regular)

Runs two type of Business

1. Own vehicale (Car ) renting Service

He is not collecting GST on renting and hiring service instead it will be dealcred as RCM nature and service receiver will pay the GST

2. Condiments Shop

Input of car (Yello Board) purchase is also used in total tax liability of business

Is this correct ?

Can he take input of car purchase while discharging Shop tax liability ?

 

AI Summary

Business Owner's ITC on Car Purchase: Not Available for Rental Service Under RCM, Possible If GST Charged on Rentals. A forum discussion addresses whether a business owner with a single GST number can use input tax credit (ITC) from a car purchase for two businesses: a car rental service and a condiments shop. The car rental service is under Reverse Charge Mechanism (RCM), meaning the recipient pays GST, potentially blocking ITC as per CGST Act Section 17(5)(a). Replies indicate ITC is unavailable for the car rental as it falls under RCM, and the car is not used for goods transportation. ITC could be claimed if the owner charges GST on rental services.