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Tender creditworthiness conditions may extend to de facto Promoter Directors, with post-participation challenges generally barred absent arbitrariness...
Corporate representation in PMLA summons proceedings permitted through an authorised signatory, subject to directors' continuing cooperation and atten...
Helicopter charter classification requires effective control analysis, while territorial performance, reasoned credit orders and wilful suppression de...
Specified fund definition expands PAN exemption eligibility for registered alternative investment funds and qualifying International Financial Service...
Tax exemption for specified legal-services authority income applies retrospectively, subject to non-commercial activity, unchanged income sources, and...
The AAR ruled that a listed entity is not eligible to avail Input Tax Credit (ITC) on expenditure incurred for buyback of its shares. The authority determined that buyback of shares is neither a supply of goods nor services, as "securities" are explicitly excluded from both definitions under CGST Act. Since section 16(1) permits ITC only on supply of goods or services used in course of business, the primary condition for ITC availment is not satisfied. The applicant's argument that such expenditure furthers business activity becomes irrelevant once the threshold requirement fails. The AAR concluded that the applicant must reverse ITC on common inputs and input services related to share buyback expenditure.
The AAR ruled that a listed entity is not eligible to avail Input Tax Credit (ITC) on expenditure incurred for buyback of its shares. The authority determined that buyback of shares is neither a supply of goods nor services, as "securities" are explicitly excluded from both definitions under CGST Act. Since section 16(1) permits ITC only on supply of goods or services used in course of business, the primary condition for ITC availment is not satisfied. The applicant's argument that such expenditure furthers business activity becomes irrelevant once the threshold requirement fails. The AAR concluded that the applicant must reverse ITC on common inputs and input services related to share buyback expenditure.
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