Development agreements require legal possession or effective enjoyment for capital gains transfer; permissive possession and deferred consideration de...
Prolonged sterilisation of development rights supports capital-gains treatment, while business-income disallowances cannot govern capital-gains comput...
Additional evidence in transfer pricing dispute leads to fresh examination, while tax deductions, TDS credit, fee and refund interest require verifica...
Category II AIF pass-through taxation preserves non-business income character; investment receipts cannot be reclassified without applying recognised ...
This trade circular clarifies the availability of input tax credit (ITC) on demo vehicles used by authorized dealers for motor vehicles. The key points are: ITC is available on demo vehicles used for promoting further supply of similar vehicles, as it falls under the exclusion in Section 17(5)(a)(A) of the WBGST Act. However, ITC is not available if demo vehicles are used for staff transportation or the dealer merely acts as an agent for the manufacturer. If demo vehicles are capitalized by dealers, ITC is available subject to Section 16(3) regarding depreciation claims under Income Tax Act. Upon subsequent sale of capitalized demo vehicles, dealers must pay tax u/s 18(6) and Rule 44(6) of WBGST Rules. The circular provides clarity on ITC eligibility for demo vehicles based on their usage and accounting treatment by authorized dealers.
This trade circular clarifies the availability of input tax credit (ITC) on demo vehicles used by authorized dealers for motor vehicles. The key points are: ITC is available on demo vehicles used for promoting further supply of similar vehicles, as it falls under the exclusion in Section 17(5)(a)(A) of the WBGST Act. However, ITC is not available if demo vehicles are used for staff transportation or the dealer merely acts as an agent for the manufacturer. If demo vehicles are capitalized by dealers, ITC is available subject to Section 16(3) regarding depreciation claims under Income Tax Act. Upon subsequent sale of capitalized demo vehicles, dealers must pay tax u/s 18(6) and Rule 44(6) of WBGST Rules. The circular provides clarity on ITC eligibility for demo vehicles based on their usage and accounting treatment by authorized dealers.
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