Gst Input Available on Repair of Car isuzu and mercedez used in Business and input available on Electricity repair Capitalized in Books in Fixed assets. kindly guide whether input is available in above cases.

Reply— A taxpayer can claim ITC on motor vehicle when used for Transportation of goods. Restriction on taking ITC is on Passenger vehicle, kindly refer section 17(5)(a) of CGST Act. If Car isuzu is passenger vehicle, ITC cannot be availed. 

Under section 17(5)(d) 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 are also not eligible for Input tax credit.

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.

Input tax credit in general is not available for construction, reconstruction, Renovation, addition, alteration or Repair of an immovable property even when such goods or services or both are used in course or furtherance of business. However, the limitation in such a scenario is extent of capitalization. If you have not capitalised the same, you can claim ITC on it.