https://www.taxtmi.com/caselaws?id=381410 Input tax credit on motor vehicles used for a rent-a-cab business was held inadmissible because the supply was characterised as renting of a motor vehicle, not passenger transportation. The service was examined by its commercial character and GST classification: passenger transportation under SAC 9964 is taxed by distance travelled, whereas renting or hiring under SAC 9966 gives the recipient the right to use the vehicle for a specified period against rental consideration. On the invoices and contract structure, the service was time-based, with distance used only as a fuel-cost factor beyond a threshold, so the restriction in section 17(5)(b)(i) applied and credit on motor vehicles and related inputs was not available. en-us Mon, 10 Jun 2019 00:00:00 +0530 Sat, 08 Mar 2025 13:38:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=381410 Input tax credit on motor vehicles used for a rent-a-cab business was held inadmissible because the supply was characterised as renting of a motor vehicle, not passenger transportation. The service was examined by its commercial character and GST classification: passenger transportation under SAC 9964 is taxed by distance travelled, whereas renting or hiring under SAC 9966 gives the recipient the right to use the vehicle for a specified period against rental consideration. On the invoices and contract structure, the service was time-based, with distance used only as a fuel-cost factor beyond a threshold, so the restriction in section 17(5)(b)(i) applied and credit on motor vehicles and related inputs was not available. Case-Laws GST Mon, 10 Jun 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=381410