TMI BlogInput credit on Capital goods and Furniture & Fixture & Repair of Building & othersX X X X Extracts X X X X X X X X Extracts X X X X ..... Pls clarify the input credit is available under GST of below mentioned queries : a. Repairing of Office building / Guest house/ Employees building. b. Painting of office building / Guest House/ Employees Building c. Furniture Fixture used in office purpose. d. Furniture Fixture used for employee benefit purpose. Regards Sanjoy Das - Reply By DR.MARIAPPAN GOVINDARAJAN - The Reply = In ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... my view, if the said expenses are met for furtherance of business, then input tax credit is allowed. - Reply By KASTURI SETHI - The Reply = I support the views of Dr.Govindarajan, Sir. I further add that it would be near impossible to prove the utilization of credit on capital goods pertaining to repair/paint for employees' building and employee benefit purpose. - Reply By RAMA RAMAIAH ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... - The Reply = furtherance of business have to prove by GST dealer failing which ITC can not be claimed on the above goods. - Reply By KASTURI SETHI - The Reply = Yes, burden of proof is cast on the person who avails credit. In the situations, it is hard nut to crack. Everything cannot be included in the course of business or furtherance of business. One has to be careful. - Reply By KASTURI SE ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... THI - The Reply = Practically all the capital goods and services mentioned by the Querist are basic requirements for running the business.It is not possible to run business without these goods and services. One has to read carefully legal definition of 'Plant Machinery,' 'Business' ''in the course of business' and ''furtherance of business'. If any capi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tal goods or services falls in the exclusion clause, ITC will not be allowed even though fitted in the definition of above terms. Definitions of Plant Machinery and business have been provided in GST Acts but no definition has been given for in the course of business and furtherance of business . Legal definitions can be resorted to for these. After a lot of deliberations, I am of the view ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that the party can prove the usage. No doubt it is not free from litigation but if the party fights legally, the party will win. This is my hunch and observation. In order to avoid penalty, the party can intimate the department after availing ITC. - Input credit on Capital goods and Furniture & Fixture & Repair of Building & others - Query Started By: - Sanjoy Das Dated:- 20-12-2018 Goods and S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ervices Tax - GST - Got 5 Replies - GST - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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