https://www.taxtmi.com/highlights?id=105514 Input tax credit on demo vehicles used by authorised agents in the dealer-agency model is not blocked under the passenger motor vehicle restriction. The expression "such motor vehicles" permits credit not only for the particular vehicle ultimately supplied, but also for demo vehicles used to further supplies of similar vehicles. Although customer sales are made directly by the manufacturer in the dealer-agency model, the demo vehicles serve the same sales-promotion purpose as in the traditional dealership model. The earlier clarification denying credit to dealer-agency agents is withdrawn, ensuring equivalent ITC treatment for demo vehicles under both models. en-us Wed, 28 Oct 2026 22:35:01 +0530 Wed, 28 Oct 2026 22:35:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=105514 Input tax credit on demo vehicles used by authorised agents in the dealer-agency model is not blocked under the passenger motor vehicle restriction. The expression "such motor vehicles" permits credit not only for the particular vehicle ultimately supplied, but also for demo vehicles used to further supplies of similar vehicles. Although customer sales are made directly by the manufacturer in the dealer-agency model, the demo vehicles serve the same sales-promotion purpose as in the traditional dealership model. The earlier clarification denying credit to dealer-agency agents is withdrawn, ensuring equivalent ITC treatment for demo vehicles under both models. Highlights GST Wed, 28 Oct 2026 22:35:01 +0530 https://www.taxtmi.com/highlights?id=105514