Home Forum Goods and Services Tax - GST Month 6 2019 2019 (6) This
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Availment of ITC - Goods and Services Tax - GSTExtract Dear experts, I have some queries in sec 17(5) . Sec 17(5)(d) reads as below goods or services or both received by a taxable person for construction of an immovable property (other than plant or machinery) on his own account including when such goods or services or both are used in the course or furtherance of business. Explanation. For the purposes of clauses (c) and (d), the expression construction includes re-construction, renovation, additions or alterations or repairs, to the extent of capitalisation, to the said immovable property; Here my doubt is, it is clearly said that credit relating to construction is immovable property is not eligible. Then why real estate people are claiming credit of ITC paid by them on flats sold before completion certificate. But if immovable property is constructed for letting out purposes then the same ITC is not available for the business. Please clarify this. (In recent judgement of high court it was said that credit on immovable property which was used for letting out can also be claimed) 2019 (5) TMI 1278 - ORISSA HIGH COURT So i request the members to put forward some valid points regarding this.
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