ITC is available in relation to construction of immovable property; Know Conditions || CA Bimal Jain 

ITC is available in relation to construction of immovable property; Know Conditions || CA (Adv) Bimal Jain
☑️ 📛⚠️ Input Tax Credit (ITC) is available on re-construction, renovation, additions or repairs: #ITC
📢 ITC is available on re-construction, renovation, additions or repairs only when such expenses not capitalised in books: WB AAAR
➡️ The respondent company, which constructed a warehouse and leased it out, sought an advance ruling on their eligibility for input tax credit (ITC) related to construction costs.
➡️ The West Bengal Authority for Advance Ruling (WBAAR) initially ruled that ITC was not available for construction expenses that were capitalized in the respondent's books, but ITC could be claimed for construction expenses not capitalized.
➡️ According to Section 17(5)(c) and (d) of the CGST Act, ITC is not available for goods and services received for the construction of immovable property, classifying such credit as blocked.
➡️ ITC is also not available for costs related to reconstruction, renovation, additions, or alterations that are capitalized; however, if such expenses are not capitalized, ITC may be claimed.
➡️ The ruling by WBAAR was found to be incorrect as it applied capitalization conditions to both initial construction and later modifications like reconstruction or renovation, thus necessitating a modification of their ruling.
✔️ AAAR-WEST BENGAL - Bathula Mahesh Babu, In re [APPEAL CASE NO. 04/WBAAAR/APPEAL/2023]
#GSTwithBimalJain #a2ztaxcorpllp
🔖 Link: BimalGST/status/1...
___________________________________________________
🚀 AskBimalGST - Unique Chatbot on GST - Free Access for Subscribers🚀
Join to have early access to AskBimalGST - your ultimate GST companion powered by AI and expert answer from CA Bimal Jain!
🔍 What's AskBimalGST?
- It's answer all your GST queries for GST Compliances.
🌟 Who can be Benefited:
- All Tax Professionals, Tax Officers, Trade Members !
🌟 Why AskBimalGST:
- Answer all your GST queries on Realtime basis
- Ask Q&A in any languages
🚀 Registration Link: askbimalgst.kritibudh.com/home
📞 Have questions? Need assistance? Contact our team.
📞 011-42427056, 📧 info@a2ztaxcorp.com
Don't miss out on this game-changing opportunity - revolutionize GST compliance with AskBimalGST!
Warm regards,
Team A2Z TAXCORP LLP
__________________________________________________
To Know More About Zoho: www.zoho.com/
___________________________________________________
📍 For any query related to GST write back to us at:
info@a2ztaxcorp.com
👉🏻 Download Our Free GST Android App:-
🔹 play.google.com/store/apps/de...
👉🏻 Regular and up to date GST updates are now available on WhatsAap Channel & Telegram Channel of A2Z TAXCORP LLP as well:-
🔹 Join our channel at - whatsapp.com/channel/0029Va5X...
🔹 Join our Channel at - t.me/a2ztaxcorpllp
🔰 Connect with us on Facebook, Twitter, etc.
🔹Facebook Bimal Jain :- / bimal.jain.90
🔹Facebook A2Z Taxcorp LLP :- / a2ztaxcorpllp
🔹LinkedIn Bimal Jain :- / bimal-jain-4b460114
🔹LinkedIn A2Z Taxcorp LLP :- / a2z-taxcorp-llp
🔹RU-vid :- / @cabimaljain
🔹Twitter :- / bimalgst
🔹Koo App :- www.kooapp.com/profile/cabima...
🔹Instagram :- / cabimaljain