https://www.taxtmi.com/caselaws?id=341036 Cement purchased and used before commercial production for laying foundations and erecting plant and machinery of a cement unit was treated as eligible for input tax credit under the Karnataka Value Added Tax Act, 2003. The scheme distinguishes restrictions on input tax for specified goods from deduction of input tax on capital goods, and the Fifth Schedule restriction does not apply where the goods are purchased and put to use for manufacture or another process of goods for sale. Applying the functional test, the Court treated the cement used in civil works as integral to setting up the manufacturing plant and within the statutory exception. en-us Thu, 23 Mar 2017 00:00:00 +0530 Thu, 22 Mar 2018 14:32:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=341036 Cement purchased and used before commercial production for laying foundations and erecting plant and machinery of a cement unit was treated as eligible for input tax credit under the Karnataka Value Added Tax Act, 2003. The scheme distinguishes restrictions on input tax for specified goods from deduction of input tax on capital goods, and the Fifth Schedule restriction does not apply where the goods are purchased and put to use for manufacture or another process of goods for sale. Applying the functional test, the Court treated the cement used in civil works as integral to setting up the manufacturing plant and within the statutory exception. Case-Laws VAT and Sales Tax Thu, 23 Mar 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=341036